Real money balances
A. refer to the amounts of nominal money that individuals hold.
B. are computed by deflating nominal money assets by the average price level.
C. refer to the amounts of American money that an individual holds relative to gold or foreign currencies.
D. are measured by currency holdings rather than holdings in checking accounts.
B. are computed by deflating nominal money assets by the average price level.
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Which of the following is a positive incentive?
A. deciding not to play golf due to rain B. making a donation to the Red Cross C. hiring 10 new workers as you decide to expand your operations D. offering a reward to anyone who finds your missing pet
Bank A holds $1 million in required reserves and the required reserve ratio is 9 percent. It follows that Bank A holds checkable deposit liabilities that total approximately
A) $111 million. B) $11.11 million. C) $90 million. D) $900 million.
As a nation's average education level increases, the nation's level of productivity
A. Decreases, and the nation moves to a new point on the same production possibilities curve. B. Increases, and the production possibilities curve shifts to the right. C. Increases, and the nation moves to a new point on the same production possibilities curve. D. Decreases, and the nation's production possibilities curve shifts to the left.
Refer to the information provided in Table 22.6 below to answer the question(s) that follow.
Table 22.6
Refer to Table 22.6. If 2015 is the base year, the price index in 2015 is
A. 1000. B. 100. C. 10. D. 1.