If the Fed increases the required reserve ratio, how will this affect excess reserves and the money supply?
a. Both will increase.
b. Excess reserves increase and the money supply decreases.
c. Both will decrease.
d. Excess reserves decrease and the money supply increases.
c
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The investment required to maintain steady state growth
A) is impossible to achieve since capital for new workers requires continuous increases in s, the per capita savings ratio. B) must equip new workers with capital equal to that employed by existing workers. C) must replace "worn out" capital. D) B and C.
As output increases, a typical firm's unit costs
a. decrease because the firm buys its inputs in large quantities b. increase because the supply of inputs increases c. remain constant d. increase due to the increasing scarcity of resources e. decrease as firms take advantage of diseconomies of scale
Of the following explanations for why crime fell from 1990 to 2014, which does the Brennan Center suggest had an impact in the 1990s, but not after?
A. The increase in the number of police B. Longer effective sentences C. Higher rates of incarceration D. All of these
A balanced budget amendment to the Constitution, proposed several times in the 1990s
A. Would prevent recessions. B. Would require the federal budget to be balanced every year. C. Would automatically produce surpluses during recessions and deficits during inflations. D. Would require the federal budget to be balanced over the course of the business cycle.