A bank has a reserve requirement of 0.10. If it has demand deposits of $100,000 and is holding $12,000 in reserves:
A. the bank is holding $2,000 in excess reserves.
B. the bank is not meeting its reserve requirement.
C. all reserves are required reserves.
D. all the bank's reserves are excess reserves.
Answer: A
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Which of the following is most likely to be a feature of a contingent contract?
A) A CFO is paid $250,000 if he does a good job. B) A VP of Sales is given options as part of her salary. C) Both A and B. D) None of the above.
The difference between the maximum amount a person is willing to pay for a given quantity of a good and the amount actually paid for that quantity is called
a. producer surplus b. the substitution effect c. price discrimination d. the income effect e. consumer surplus
The linear regression equation, Y = a + bX, was estimated. The following computer printout was obtained: 
Given the above information, the parameter estimate of b indicates
A. a 10-unit decrease in X results in a 213.6 unit increase in Y. B. X increases by 8.03 units when Y increases by one unit. C. X decreases by 21.36 units when Y increases by one unit. D. Y decreases by 2.66 units when X increases by one unit.
Economists typically suggest three choices that allow a polluter to decide how to absorb most, or perhaps all, of the social costs of its actions, which are
A. reducing the pollution-causing activity, changing production techniques, or paying a price to pollute. B. paying a pollution tax, continuing to use existing production techniques, or continuing the polluting behavior without regard to the social implications. C. continuing to overproduce the good, lowering the price of the good, or cutting output. D. installing pollution abatement equipment, paying to pollute, or just ignoring the issue.