When the Federal Reserve lends reserves to commercial banks, this is an example of:
A. discount window lending.
B. an open-market sale.
C. a change in reserve requirements.
D. an open-market purchase.
Answer: A
You might also like to view...
Better public education serves to ________ unemployment
A) raise mismatch B) lower mismatch C) raise turnover D) lower turnover
Both a defendant and plaintiff believe there is an 80 percent chance that the plaintiff will win $500,000 and a 20 percent chance that the plaintiff will lose and be awarded nothing (zero). If the plaintiff's litigation cost is $150,000 and the defendant's litigation cost is $200,000, the defendant would be willing to pay any amount up to ________ to settle.
A) $250,000 B) $200,000 C) $600,000 D) $550,000
The defining characteristic of a natural monopoly is
a. constant marginal cost over the relevant range of output.
b. economies of scale over the relevant range of output.
c. constant returns to scale over the relevant range of output.
d. diseconomies of scale over the relevant range of output.
At the current interest rate, suppose the supply of money is less than the demand for money. Given this information, we know that
A) the price of bonds will tend increase. B) the price of bonds will tend to fall. C) production equals demand. D) the goods market is also in equilibrium. E) the supply of bonds also equals the demand for bonds.