If the required reserve ratio is increased from .1 to .2, the demand deposit expansion multiplier
A) increases from 10 to 5.
B) increases from 4 to 4.5.
C) decreases from 5 to 2.5.
D) decreases from 10 to 5.
D
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A relative price is
A) the number of dollars that must be given up in exchange for the good. B) also called the money price. C) not an opportunity cost. D) the ratio of one price to another price.
John Steinbeck's Cannery Row describes a character who takes his own life because of poor job prospects. If he was an unemployed person who gave up looking for work, he would be considered
a. chronically unemployed b. a discouraged worker c. a member of the labor force d. a Bureau of Labor Statistics economic casualty e. cyclically unemployed
If the equilibrium of a dollar in terms of pesos is 20. what is the equilibrium price in terms of dollars
What will be an ideal response?
Which combination of fiscal policy actions would be most contractionary for an economy experiencing severe demand-pull inflation?
a. Increase taxes and government spending b. Increase taxes and decrease government spending c. Decrease taxes and government spending d. Decrease taxes and increase government spending