In utilizing unconventional monetary policy in 2009, the Federal Reserve purchased

A. real estate worth more than $2 trillion.
B. $800 billion in Treasury bills.
C. over $1 trillion in mortgage-backed securities.
D. $600 billion in long-term Treasury bonds.


Answer: C

Economics

You might also like to view...

If consumption is $750 when real disposable income is $1,000, the average propensity to consume is

A) 0.50. B) 0.25. C) 0.80. D) 0.75.

Economics

Which of the following statements is correct?

A) The markup pricing rule that is derived from the rule for profit maximization can be used as a substitute for determining the profit-maximizing level of output by equating marginal revenue and marginal cost. B) It is reasonable to assume that a profit-maximizing firm will never operate in the inelastic portion of its demand curve. C) The ability of a profit-maximizing firm to mark up price above average cost is unaffected by the price elasticity of demand for the firm's output. D) The markup factor and the price elasticity of demand are positively related, i.e., as the price elasticity of demand increases, the markup factor that the profit-maximizing firm can apply to its marginal cost in setting price increases as well.

Economics

An industry's equilibrium wage rate is established

A) by the industry supply curve for labor alone. B) by the slope of the industry demand curve for labor alone. C) by the Labor Department and based on the cost of living in the area. D) by the intersection of the industry supply and demand curves for labor.

Economics

In 2007, the public debt was

a. roughly $500 million b. nearly $1 trillion c. nearly $3 trillion d. $9 trillion e. over $25 trillion

Economics