If the marginal propensity to save is 0.3, the size of the multiplier is:
A. 0.7.
B. 3.3.
C. 1.3.
D. 2.3.
B. 3.3
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The primary assets of credit unions are
A) municipal bonds. B) business loans. C) consumer loans. D) mortgages.
The Taylor rule says that the fed funds rate target is a function of all of the following, except
A) the actual inflation rate. B) the target inflation rate. C) the percentage difference between actual and potential real GDP. D) the level of borrowed reserves.
A steel mill raises the price of steel by 7%, which results in a 20% reduction in the quantity of steel demanded. The demand curve facing this firm is: a. elastic
b. inelastic. c. unit elastic. d. unit inelastic.
Exhibit 3-5 Supply for Tucker's Cola Data Quantity supplied per week(millions of gallons) Price pergallon 6 $3.00 5 2.50 4 2.00 3 1.50 2 1.00 1 .50 As shown in Exhibit 3-5, the price and quantity supplied by sellers of Tucker's Cola have a(n) ____ relationship.
A. direct. B. inverse. C. negative. D. zero.