If the Fed purchases $100,000 of government bonds, and the reserve requirement is 20 percent, the maximum increase in the money supply is $ 500,000.
Answer the following statement true (T) or false (F)
True
Economics
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If the interest rate is 10% then the net present value of the investment is
a. $5,000 b. - $9,091 c. -$15,290 d. -$21,901
Economics
When the demand for a product does not fluctuate when there is a change in price, the good is ________.
a. inelastic. b. elastic. c. unit elastic. d. perfectly inelastic.
Economics
If a consumer is at an optimum, consuming X and Y, and the price of Y decreases, then to get to a new equilibrium the consumer must
A) purchase less X. B) purchase less Y. C) purchase more X. D) purchase more of both X and Y.
Economics
Explain how unemployment changes over the business cycle. Why do these changes occur?
What will be an ideal response?
Economics