The effect of Commodity Credit Corporation loan programs is to alter the quantity demanded of farm products as well as to increase the quantity supplied.
Answer the following statement true (T) or false (F)
True
The CCC price support shifts the demand curve facing each farmer upward to the guaranteed price. This higher price induces individual farmers to increase their rate of output. As farmers respond to price supports, the agriculture market is pushed out of equilibrium, and more output is supplied than demanded.
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America's banking system is called a fractional reserve system
a. True b. False Indicate whether the statement is true or false
Which of the following directs the buying and selling of U.S. government securities?
a. Board of Governors b. District Federal Reserve Banks c. Federal Open Market Committee d. Federal Advisory Council e. member banks
Explain why using leverage to purchase risky securities is so popular
Which of the following statements about price discrimination is false?
A. It is often a disguised subsidy to the poor. B. It involves charging at least two separate prices for the same good or service. C. Perfect price discrimination eliminates some of the customer's consumer surplus. D. It is legal in the United States.