If the reserve ratio is raised, the money multiplier

A) stays the same. B) is doubled. C) is lowered. D) is increased.


C

Economics

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If persistent inflation was due to declines in long-run aggregate supply, what pattern would be observed?

A) Only prices of services would increase; prices of goods would remain constant. B) Increases in the price level would occur simultaneously with increases in real GDP. C) Increases in the price level would occur simultaneously with decreases in real GDP. D) Only prices of goods would increase; prices of services would remain constant.

Economics

The vertical distance between the total cost curve and the total variable cost curve reflects

a. profit per unit. b. total fixed cost. c. marginal cost. d. the principle of diminishing marginal returns.

Economics

The Solo Coal Mine is the only employer in the small town of Way out there. The market supply of coal miners is Qs = 0.02W - 400, where W is the annual wage of a coal miner and Q is the number of people who would accept employment as a coal miner. What is the coal mine's marginal expenditure function?

A. ME = 50Q + 10,000 B. ME = 100Q + 10,000 C. ME = 50Q + 20,000 D. ME = 100Q + 20,000

Economics

In what type of analysis will an increase in the tax rate always lead to an increase in tax revenues?

A) ad valorem taxation B) excise taxation C) dynamic tax analysis D) static tax analysis

Economics