When depository institutions have negative excess reserves, it indicates that the banking system is not "loaned up."

a. True
b. False
Indicate whether the statement is true or false


False

Economics

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Refer to the scenario above. Which of the following will happen in equilibrium if Harry is known to be trustworthy?

A) Tom will trust Harry and Harry will cooperate. B) Tom will trust Harry and Harry will defect. C) Neither of them will make any money. D) Only Harry will make money.

Economics

Is it possible to have a GDP deflator of less than 100?

A. Yes, it would indicate a year when prices were lower than in the base year. B. Yes, it would indicate a year when output was lower than in the base year. C. No, that is mathematically impossible for the deflator to be less than 100. D. Yes, it would indicate a year when prices were lower than in the previous year.

Economics

The oligopoly market structure model is characterized by:

a. many firms in an industry producing differentiated products. b. many firms in an industry producing identical products. c. few firms in an industry with natural barriers to entry. d. a single firm in an industry with barriers to entry. e. many firms in an industry with barriers to entry.

Economics

When the MPC = 0.9, the multiplier is

A) 0.20.
B) 1.25.
C) 2.50.
D) 5.00.
E) 10.00.

Economics