Which of the following is correct?
a. Nominal GDP is always less than real GDP.
b. Nominal GDP is always greater than real GDP.
c. Nominal GDP equals real GDP in the base year.
d. Nominal GDP equals real GDP in all years but the base year.
c
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What is the effect on the price and quantity of wooden desks of a rise in the price of wood?
A) The equilibrium quantity of wooden desks increases and the equilibrium price falls. B) The equilibrium quantity of wooden desks increases and the equilibrium price rises. C) The equilibrium quantity of wooden desks decreases and the equilibrium price falls. D) The equilibrium quantity of wooden desks decreases and the equilibrium price rises.
As a result of the financial crisis of 2007-2009, the size of the shadow banking system:
A) became smaller than the commercial banking system B) became larger than the commercial banking system C) declined, but remained larger than the commercial banking system D) increased, but remained smaller than the commercial banking system
The practice by telephone companies of charging lower long-distance rates at night than during the day is an example of:
a. inverted block pricing b. second-degree price discrimination c. peak-load pricing d. first-degree price discrimination e. none of the above
Reserves are
a. the central bank of the U.S. b. deposits that banks hold in excess of the required amount. c. the purchase of bonds by the Federal Open Market Committee. d. deposits that banks have received but have not yet loaned out.