If the banking system has a required reserve ratio of 40 percent, then the money multiplier is
A) 2. B) 2.5. C) 4. D) 8.
B
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What three critical factors or preconditions turned a national, U.S. problem into a global financial crisis in 2007. Be sure to address the role securitization played and how it affected regulators
What will be an ideal response?
The excludability versus nonexcludability issue is
A. relevant to the issue of market failure. B. not relevant to the issue of market failure. C. relevant to the free-rider problem. D. a and c E. b and c
A decrease in the price level leads to which of the following sequences?
a. The money demand curve shifts leftward, the interest rate drops, the aggregate expenditure line shifts upward, and there is movement downward along the aggregate demand curve. b. The money demand curve shifts rightward, the interest rate increases, the aggregate expenditure line shifts downward, and there is movement upward along the aggregate demand curve. c. The money demand curve shifts leftward, the interest rate drops, the aggregate expenditure line shifts downward, and there is movement upward along the aggregate demand curve. d. The money demand curve shifts rightward, the interest rate increases, the aggregate expenditure line shifts upward, and there is movement downward along the aggregate demand curve. e. The money demand curve shifts leftward, the interest rate drops, the aggregate expenditure line shifts upward, and there is movement upward along the aggregate demand curve.
An increase in the price of blueberries would lead to a(n)
a. increased supply of blueberries. b. a movement up and to the right along the supply curve for blueberries. c. a movement down and to the left along the supply curve for blueberries. d. Both a and b are correct.