Which of the following examples reflects the liquidity trap?

a. After a bank receives additional reserves, it collects interest on those funds rather than loaning them.
b. After receiving additional reserves, a bank invests large sums in a bull market.
c. After a bank receives additional reserves, the number of loans it makes increases significantly.
d. After receiving additional reserves, a bank uses half of them for investments.


a. After a bank receives additional reserves, it collects interest on those funds rather than loaning them.

Economics

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________ dictates the lowest wage that firms may pay for labor

A) The black-market wage B) A maximum wage requirement C) A minimum wage law D) A price-ceiling wage

Economics

Which of the following countries received a loan from the IMF in November 2008?

A) Japan B) China C) Hungary D) Mexico

Economics

When there are many buyers and sellers, no significant barriers to entry, and a differentiated product, the market structure is called

a. an oligopoly b. perfect competition c. monopolistic competition d. a monopoly e. unbalanced monopoly

Economics

Answer the next question based on the following data. All figures are in billions of dollars.Disposable income$200Net private domestic investment40U.S. imports15National income300Personal taxes31Net exports9Gross private domestic investment55Net foreign factor income10Statistical discrepancy0This nation's exports are ________.

A. $28 billion B. $16 billion C. $9 billion D. $24 billion

Economics