Cashing out capital gains in Virtual Currency System #3 (i.e., turning virtual capital gains into real world currencies) causes the nation's:
a. Monetary base to rise.
b. M2 money supply to fall.
c. M2 money multiplier to fall.
d. Monetary base to remain the same.
.D
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Three forces played a significant role in preparing Indian policy makers for economic reform. Describe them
What will be an ideal response?
Which of these statements best describes a flow variable?
a. An economic variable that measures something at a particular point in time b. An economic variable whose value is determined by the market c. An economic variable that is measured per unit of time d. An economic variable whose value shows no change over time e. An economic variable that remains static when other related variables change
Refer to the diagram, in which solid arrows reflect real flows; broken arrows are monetary flows. Flow (7) might represent:
A. a transfer payment to disabled persons.
B. wage payments to public school teachers.
C. subsidies to corporations to stimulate exports.
D. the U.S. Bureau of Engraving and Printing's expenditures for paper.
In practice, the Board of Governors and the chairperson of the Federal Reserve have the real control over monetary policy
Indicate whether the statement is true or false