By choosing to target the interest rate, the Fed loses control over the money supply

Indicate whether the statement is true or false


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Economics

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Over the past 40 years, the most frequent target for the Fed's monetary policy has been the: a. prime interest rate

b. federal funds rate. c. M1 money supply. d. M2 money supply. e. required reserve ratio.

Economics

Which of the following is an example of a monopolistically competitive firm?

A. Farmer Smith's corn farm B. Tino's Italian eatery, a local restaurant C. TCI Cablevision, a supplier of cable television services D. Northwest Electricity, a supplier of electricity in the Northwest U.S.

Economics

Suppose that when disposable income increases by $2,000, consumption spending increases by $1,800. Given this information, we know that the marginal propensity to save (MPS) is

A. 0.8. B. 0.1. C. 0.9. D. 0.2.

Economics

Refer to the above table. What does the marginal revenue product equal when 26 workers are hired a week?

A. $221 B. $8.50 C. $1190 D. $26

Economics