In the federal funds market diagram, a decrease in the required reserve ratio
A) shifts the demand curve for reserves to the left.
B) increases the federal funds rate.
C) results in a multiple expansion of deposits, which increases the equilibrium level of reserves held by banks.
D) shifts the supply curve for reserves to the right.
A
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How can freedom of the press promote economic growth?
A) A free press can be more easily swayed to report only one side of any issue. B) A free press reduces the likelihood that judges will protect private property rights. C) A free press can act as a watchdog for corruption, increasing chances for economic growth. D) A free press does not promote economic growth.
Assume that you borrow $2000 at 10% annual interest to finance a new business project. For this loan to be profitable, the minimum amount this project must generate in annual earnings is
A) $400. B) $201. C) $200. D) $199.
A balance of payments deficit is associated with a ________ of international reserves, while a balance of payments surplus is associated with a ________
A) loss; loss B) loss; gain C) gain; loss D) gain; gain
Which of the following is an example of a produced factor of production?
a. a plant in which automobiles are assembled b. skills that people accumulate in high school and college c. skills that people accumulate through experience in the workplace d. All of the above are correct.