Why do banks create money? Do they create money to help the Federal Reserve control the money supply or is there a more basic reason?
What will be an ideal response?
Banks create money to make a profit. Banks create money when they make loans. The loans take the form of checking account deposits. Asking why banks create money is the same as asking why they make loans.
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The largest number of individuals of working age in the U.S. population are ________
A) discouraged workers B) unemployed C) employed D) not in the U.S. labor force
During the antebellum period, U.S. consumers increased their demand for mass-produced, standardized and simple goods
Indicate whether the statement is true or false
Having a government agency certify bond rating agencies may not be desirable
Indicate whether the statement is true or false
The law of comparative advantage states that the person who should produce a good is the person who
a. has the lowest opportunity cost of producing that good b. can produce that good using the fewest resources c. will produce that good using the most expensive resources d. has the most desire for that good e. has produced that good in the past