As financial intermediaries, how do commercial banks pay their expenses and earn profit?
a. Banks pay depositors a higher interest rate than they charge borrowers
b. Banks pay depositors a lower interest rate than they charge borrowers.
c. Banks earn interest from their deposits at the Federal Reserve.
d. Banks invest funds from stockholders in the stock and bond markets.
b. Banks pay depositors a lower interest rate than they charge borrowers.
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Using the market shares in the table above, if Widgotech buys Widgette the HHI will
A) stay the same. B) rise by 1 point. C) rise by 10 points. D) rise by 18 points.
The agency most responsible for Japan's industrial policy:
a. MITI b. The central bank c. The finance ministry d. The prime minister e. The emperor
An import quota will ordinarily raise the price of the good in the importing country.
Answer the following statement true (T) or false (F)
A production possibilities frontier with a ________ shape indicates increasing opportunity costs as more and more of one good is produced
A) linear B) bowed inward C) bowed outward D) perfectly horizontal