Which of the following is true of the federal funds rate?
a. An increase in the federal funds rate leads to an increase in other interest rates too
b. A decrease in the federal funds rate leads to an increase in other interest rates.
c. A decrease in the federal funds rate discourages banks from lending funds to other banks.
d. A decrease in the federal funds rate discourages banks from giving loans to the public.
a
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The marginal propensity to consume (MPC) is the change in consumption divided by the change in saving
a. True b. False Indicate whether the statement is true or false
Under which of the following scenarios would a park be considered a public good?
a. Visitors to the park must pay an admittance fee, but there are always plenty of empty picnic tables. b. Vistors to the park must pay an admittance fee and frequently all of the picnic tables are in use. c. Visitors can enter the park free of charge and there are always plenty of empty picnic tables. d. Visitors can enter the park free of charge, but frequently all of the picnic tables are in use.
Hourly wages and fringe benefits average about _______ an hour in Mexico.
Fill in the blank(s) with the appropriate word(s).
The government's budget deficit or surplus equals the...
a) change in outlays divided by change in revenue b) average outlay divided by average revenue c) change in revenue minus change in outlays d) total tax revenue minus total government outlays