The most commonly used tool in monetary policy is
A) changes in the discount rate. B) express lending transactions.
C) open market operations. D) changes in required reserve ratios.
C
You might also like to view...
Suppose that Jeanna's income rises. If tomatoes are a normal good, what will happen to the quantity of tomatoes purchased by Jeanna? Is this an income effect, a substitution effect, or both? Explain
What will be an ideal response?
Refer to the Article Summary. Based on the difference between the face value of Super Bowl tickets and the prices being charged in the resale market, the demand at the face value of the tickets is
A) elastic. B) unit elastic. C) inelastic. D) perfectly elastic.
When a U.S. company shifts its call-center operations overseas to reduce costs, it is applying the economic concept of:
A. thinking at the margin. B. comparative advantage. C. diminishing returns. D. using assumptions to simplify.
Which of the following would likely be studied in a macroeconomics course?
A) the unemployment rate B) total output in an economy C) the inflation rate D) all of the above