If the reserve ratio is 0.9, the money multiplier will be 10
Indicate whether the statement is true or false
FALSE
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Which of the following statements best describes a normal good?
A) A normal good is a good that is rationed by the government. B) A normal good is a good that is readily available in the market. C) A normal good is a good whose supply increases as its price decreases. D) A normal good is a good whose demand increases with an increase in consumers' income.
Elaine spends $10 a week on pizza and Pepsi. The price of pizza is $2 a slice and the price of a Pepsi is $2. The table shows Elaine's total utility from pizza and Pepsi
Elaine maximizes her total utility by buying ________ slices of pizza and ________ Pepsis a week. A) 5; 0 B) 0; 5 C) 3; 2 D) 2; 3
Between 1870-1910, quantitative evidence shows very little, if any growth in bushels produced per acre for crops like corn and wheat. Which of the following statements correctly depicts the situation of farmers during this period?
a. Although output per acre was not growing, increased labor productivity allowed farmers to earn profits. b. Farmers exited corn and wheat production due to lack of profits in these crops. c. Because output per acre was not growing, farmers were forced to produce corn and wheat on farms of 60 acres or less. d. Corn and wheat production became concentrated in the Great Lakes region, where small farms were common after the Civil War.
If an economy is growing, but experiences no inflation, this means
a. aggregate demand increased, but aggregate supply did not. b. aggregate supply decreased, but aggregate demand did not. c. aggregate demand and aggregate supply increased by the same amount. d. aggregate demand and aggregate supply decreased by the same amount.