When the Fed buys Treasury securities
A) the budget deficit declines.
B) the money supply decreases.
C) the money supply increases.
D) profits are maximized.
C
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The rapid adoption of Basic Oxygen Furnaces by "Big Steel" (the top six firms) kept the American basic steel industry from falling behind changes in world technology during the 1960s
Indicate whether the statement is true or false
If you want to deflate the current price of something to eliminate the effect of inflation,
a. divide the number by the price index. b. multiply the number by the price index. c. multiply the number by 2 and then divide by the price index. d. multiply the number by the price index and then divide by 2.
Which of the following statements about markets is false?
a. markets are used to allocate resources in market systems b. markets can vary in geographical size c. prices are used to allocate goods in markets d. markets are used to allocate resources in centrally-planned socialist economic systems e. supply and demand explains how prices are set in competitive markets
Which of the following does not hinder economic development?
a. lack of education b. poor agricultural productivity c. low investment in human capital d. lack of technology e. good nutrition