U.S. bank notes have no intrinsic value and yet are widely accepted as a medium of exchange. This is a result of:
a. Gresham's law.
b. the use of money as a store of value.
c. the fiduciary monetary system.
d. the valuation of currency as commodity money.
e. the gold and silver reserves of the Federal government that backs the currency.
c
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By forming a cartel the member firms can actually raise their profits
a. True b. False Indicate whether the statement is true or false
The demand schedule shows that the price of a good and quantity demanded are directly related to each other
a. True b. False Indicate whether the statement is true or false
The Federal Reserve was created in 1913 after a series of bank failures in 1907
a. True b. False Indicate whether the statement is true or false
Refer to the table below. If the consumer buys both product X and product Y, how much will the consumer buy of each in order to maximize utility?
Answer the question based on the table below showing the marginal utility schedules for product X and product Y for a hypothetical consumer. The price of product X is $4 and the price of product Y is $2. The income of the consumer is $20.
A. 4X and 2Y
B. 3X and 4Y
C. 4X and 3Y
D. 5X and 3Y