One of the criticisms of Basel 2 is that it is procyclical. That means that
A) banks may be required to hold more capital during times when capital is short.
B) banks may become professional at a cyclical response to economic conditions.
C) banks may be required to hold less capital during times when capital is short.
D) banks will not be required to hold capital during an expansion.
A
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The table gives data for a nation. What is the amount of the country's GDP?
A) $6,000 billion B) $6,200 billion C) $6,900 billion D) $5,800 billion E) $6,600 billion
"The number of substitutes available affects the price elasticity of demand for a good. So one way to know if apples and oranges are substitutes for each other is to look at the price elasticity of demand for each." Comment on this assertion
What will be an ideal response?
In a two-player simultaneous game, if player A has a dominant strategy and player B does not, player B will
A) employ a mixed strategy. B) choose his best strategy assuming that player A plays her dominant strategy. C) not achieve a Nash equilibrium. D) assume that player A does not choose her dominant strategy.
Figure 3-2
Given the supply and demand conditions illustrated in , the equilibrium price of steak is
a.
$2 per pound.
b.
$4 per pound.
c.
$6 per pound.
d.
$8 per pound.