An increase in the discount rate impacts the money supply because it
a. makes it more attractive for commercial banks to borrow from the Federal Reserve.
b. decreases the interest yield on new issues of U.S. securities.
c. reduces the incentive of commercial banks to borrow from the Federal Reserve.
d. increases the Federal Reserve's earnings and, thereby, expands the money supply.
C
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Supply-side economics
A) promotes increasing taxes to create additional revenue for government spending. B) promotes expansionary fiscal policy by increasing government spending. C) is based on the Ricardian equivalence theorem. D) promotes reducing taxes to create incentives to increase productivity.
A requirement for acquiring a related firm to generate value is
a. it be profitable b. you be profitable c. y ou will alter operations because of the acquisition d. all synergies between the firms were exploited before the acquisition
All of the following are true about a monopolist except:
A. Average and marginal revenues are not the same. B. Marginal revenue is greater than price. C. Marginal revenue can be negative. D. Marginal revenue decreases with increases in output.
The marginal revenue curve for a monopolistically competitive firm, when compared to the marginal revenue curve for a perfectly competitive firm, is
A. identical in that they are both vertical. B. steeper. C. identical in that they are both horizontal. D. flatter.