If banks operated under a 100 percent reserve system, commercial banks would not be able to create any further money
Indicate whether the statement is true or false
TRUE
You might also like to view...
Based on the figure below. Starting from long-run equilibrium at point C, a tax cut that increases aggregate demand from AD to AD1 will lead to a short-run equilibrium at point ________ and eventually to a long-run equilibrium at point ________, if left to self-correcting tendencies. 
A. D; C B. B; C C. B; A D. D; B
Which of the following will tend to make oil extraction more economical?
A) rising oil prices B) additional oil exploration C) conservation measures D) development of oil substitutes
How does the science of economics deal with the fact that we all have different values?
A) by assuming that values don't play a role in economic behavior B) by seeking to discover the sources of different value systems C) by using positive analysis D) by surveying the public to see what the most common values are, and then incorporating those as assumptions into their models
Figure 4-20
Refer to . The burden of the tax on sellers is
a.
$1.00 per unit.
b.
$1.50 per unit.
c.
$2.00 per unit.
d.
$3.00 per unit.