Macroprudential supervision policies try to prevent a leverage cycle by changing capital requirements so that they ________ during an expansion and ________ during a downturn
A) increase; decrease
B) increase; increase
C) decrease; increase
D) decrease; decrease
A
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Economies of scale exist when the ________ a unit of a good ________
A) average cost of producing; falls as its output rate increases B) price; falls as its input rate decreases C) price; rises as its output rate increases D) average cost of producing; rises as its input rate increases
The future value of a deposit in a savings account will be larger
a. the longer a person waits to withdraw the funds. b. the higher the interest rate is. c. the larger the initial deposit is. d. All of the above are correct.
The Trial Balance:
a. Lists all the company's accounts and ending balances b. Is printed before and after making adjustments c. Verifies the accounting system balances d. All of these
An economic model:
A. exactly explains what happens in the real economy. B. approximates all facets of what happens in the real economy. C. does not make clear assumptions about the economic activity. D. discards unnecessary details to clearly demonstrate the central principles of the economic activity.