Which of the following is a liability of a family?

A. House
B. Mortgage
C. Share of stock
D. Checking account balance


Answer: B

Economics

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If the reserve ratio is 10 percent and reserves in the commercial banking system increase by $10,000, the maximum possible expansion of demand deposits is

A) $90,000. B) $1,000,000. C) $10,000. D) $100,000.

Economics

If there is an excess supply of the domestic currency at a fixed exchange rate,

a. the currency will undergo a devaluation b. the currency will appreciate c. the country must switch to a floating exchange rate d. the central bank must buy up that excess supply or the exchange rate will fall e. the central bank must be up that excess supply or the exchange rate will rise

Economics

If the government ran a major deficit, and there was no noticeable effect on the level of GDP, this could be taken as evidence of

A. crowding-in. B. structural deficit. C. crowding-out. D. monetary policy ineffectiveness.

Economics

Why does the marginal resource cost exceed the wage rate in the case of a monopolistic firm? Explain and illustrate with an example

What will be an ideal response?

Economics