If the Fed buys $5 million in government bonds, how much will the money supply change?
A. It will increase by $5 million.
B. It will increase by more than $5 million.
C. It will decrease by $5 million.
D. It will decrease by more than $5 million.
Answer: B
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A bilateral negotiation is a bargaining mechanism in which:
A) a third party or an authority intervenes and decides the prices of the products traded in a market. B) a single seller and a single buyer confront one another with bids and asks. C) multiple buyers bargain with a single seller to determine the trading price. D) multiple sellers bargain with a single buyer to determine the trading price.
How might the existence of federally funded programs for the poor reduce the amount of charitable giving?
What will be an ideal response?
The nominal value of GDP is:
a. expressed in monetary values adjusted for inflation b. expressed in monetary values that are not adjusted for inflation. c. expressed in numeric values that does not correlate to a monetary term. d. expressed as a ratio between the value of consumption expenditure and the value of investment expenditure.
If social returns to the production of a good are less than private returns, then we can conclude that relative to the social optimum, the good will be
A) overproduced and underpriced. B) underproduced and overpriced. C) overproduced and overpriced. D) underproduced and underpriced.