What is the monetary base and how does it relate to the Fed's balance sheet?
What will be an ideal response?
The monetary base is the sum of Federal Reserve notes, coins, and depository institutions' deposits at the Fed. Aside from coins, the rest of the monetary base consists of Federal Reserve liabilities. Federal Reserve notes and depository institutions' deposits are liabilities of the Federal Reserve.
You might also like to view...
On an isoquant/isocost graph, the least cost input combination of producing a given output is
A) given by the tangency between the isoquant curve and the isocost line. B) any point on the isocost line. C) any point on the isoquant curve. D) one of the intercept values on the graph.
If the t statistic for the presence of a unit root in a variable is ?7.22 and the 5% critical value is ?2.86, there is strong evidence against a unit root in the variable.
Answer the following statement true (T) or false (F)
Suppose the population of Toon Town is 100 people and the working-age population is 70. If 10 of these people are unemployed, the unemployment rate in Toon Town is
What will be an ideal response?
Refer to the below graph. In the short run, this monopolistic ally competitive firm will set price at:
The graph depicts a monopolistic ally competitive firm.
A. $55 and produce 45 units of output
B. $65 and produce 35 units of output
C. $50 and produce 35 units of output
D. $52 and produce 50 units of output