Which of the following statements is false?
A) The Fed has the legal authority to create money out of thin air.
B) There is a direct relationship between the money supply and the required reserve ratio.
C) The Fed can cause money to disappear into thin air.
D) The federal funds market is a market in which banks can borrow money from other banks.
B
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Collaborative research is especially important in high-technology sectors because a single firm might not have the resources to develop a significant innovation.
Answer the following statement true (T) or false (F)
In third-degree price discrimination, markets with a larger price elasticity of demand are ________ responsive to price changes and are charged ________ prices than markets with a smaller price elasticity of demand.
A) less; lower B) more; higher C) more; lower D) less; higher
An inflationary gap occurs when aggregate expenditures are too high to achieve full employment
a. True b. False Indicate whether the statement is true or false
Consider a consumer of baked beefsteaks and fried fish fillets. Suppose the price of a plate of baked beefsteak is $8 and that of fried fish fillets is $10 at a restaurant. If the marginal utility of baked beefsteak to the consumer is 20 units, compute the marginal utility of fried fish fillets, assuming that the consumer is in equilibrium
a. 12 units b. 20 units c. 25 units d. 80 units