Capital controls for banks
A) reduce the chance of bank failures.
B) have been demonstrated to be effective in preventing financial crises.
C) increase the problem of moral hazard.
D) increase the profitability of banks.
A
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When there is a positive externality
A) the marginal social benefit received by consumers is greater than the marginal private benefit. B) the marginal private benefit received by consumers is greater than the marginal private cost. C) the marginal private benefit received by consumers is greater than the external benefit. D) the marginal private benefit received by consumers is greater than the marginal social benefit.
Focusing on real GDP per capita allows economists to control for how ______ impacts economic growth.
a. annual percentage change b. the standard of living c. population growth d. international changes
Typically, the unemployment rate ________ during a recession and ________ during an expansion.
A. rises; does not change B. rises; falls C. rises; rises even more D. falls; rises
Though Nash games are noncooperative, a cooperative outcome is more likely if
A. the long-run gains are smaller than the short-run gains. B. firms expect the market relationship to last only for a short time. C. the long-run gains are greater than the short-run gains. D. firms can easily monitor the outcomes from rivals' defection.