The payoff method used by the FDIC to address the insolvency of a bank is when the FDIC:
A. pays the owners of the bank for the losses they would otherwise face.
B. pays off the depositors up to the current $250,000 limit, so it is possible that some depositors will suffer losses.
C. pays off all depositors the balances in their accounts so no depositor suffers a loss, though the owners of the bank may suffer losses.
D. takes all of the assets of the bank, sells them, pays off the liabilities of the bank in full, and then replenishes their fund with any remaining balance.
Answer: B
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A diagram shows the quantity of tomatoes on the horizontal axis and the quantity of coffee on the vertical axis. The quantity of tomatoes remains constant as the quantity of coffee increases. The graph of these data is
A) a horizontal line. B) a vertical line. C) a positively sloped line. D) a negatively sloped line
A change in autonomous consumption causes a movement along the aggregate expenditure line, while a change in consumption that depends on income causes a shift of the aggregate expenditure line
a. True b. False
The marginal revenue that would be derived from the production of the fifth unit is
A. $20.
B. $16.
C. $12.
D. $4.
According to consumer choice theory, rational behavior requires that consumers compare the marginal utility of each purchase with its price.
Answer the following statement true (T) or false (F)