Demand deposits are ______.
a. money made by government fiat
b. official legal tender
c. account balances that are accessible on demand
d. any balance at a financial institution
c. account balances that are accessible on demand
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Why might very small plots of land be inefficient? Is it then true that the larger the better?
What will be an ideal response?
A voluntary restraint agreement:
A. does not, unlike a tariff, affect the price of imports. B. is prohibited under the GATT treaty and has become less common recently. C. does not, unlike a quota, affect the quantity of imports. D. raises the price of imports in the same way as a quota.
Which of the following is a bank liability?
A. U.S. Treasury securities B. Reserves C. Demand deposits D. Mortgage loans
If producers have imperfect information about the general price level and sometimes misinterpret changes in the general price level as changes in relative prices, then
A. the aggregate demand curve is horizontal. B. the short-run aggregate supply curve slopes upward. C. the aggregate demand curve is vertical. D. the short-run aggregate supply curve is vertical.