Between September 2007 and March 2008 there was a substantial reduction in the demand for housing. What action did the Fed take in response to the reduction in the demand for housing?
A) The Federal Reserve cut the federal funds rate seven times.
B) The Federal Reserve decreased the required reserve rate.
C) The Federal Reserve raised the discount rate by 3 percentage points.
D) The Fed conducted open market sales of Treasury securities.
A
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Compensating differentials are associated most closely with which of the following?
A) comparable worth B) economic discrimination C) differences in education D) hazardous jobs
In the graph of the Solow growth model, at any point to the right of the steady-state intersection we have national saving per person ________ than steady-state investment per person, causing (K/N) to ________
A) greater, increase B) greater, decrease C) less, increase D) less, decrease
The relationship between real consumption spending and real disposable income
A) is direct. B) is inverse. C) plots a vertical line. D) plots a horizontal line.
Some economists argue that there were good reasons for housing price to rise. Explain their argument
What will be an ideal response?