Which government body is primarily responsible for regulating banks and ensuring the health of the banking system?
a. The U.S. Treasury
b. Federal Deposit Insurance Corporation
c. The Federal Reserve Board
d. The regional Federal Reserve Banks
d
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Money targeting works when the demand for money curve is ________ and predictable. Technological change in the banking system has led to ________ and ________ shifts in the demand for money curve
A) stable; large; predictable B) unstable; large; unpredictable C) stable; small; unpredictable D) stable; small; predictable E) stable; large; unpredictable
A GDP deflator of 112 means:
A. the overall price level is 12 percent higher than in the base year. B. the overall output increased by 12 percent since the base year. C. every price in the economy has gone up by 12 percent. D. the production of each good in the economy has increased by 12 percent.
Lindahl prices
A. result in efficient levels of public goods provision. B. require honest revelation of preferences. C. result in different prices for the same amount of output. D. cause all of these. E. none of these answer options are correct.
When demand is elastic
A) a proportionately small change in price leads to a proportionately large change in quantity supplied. B) a proportionately small change in price leads to a proportionately small change in quantity supplied. C) a proportionately small change in price leads to a proportionately large change in quantity demanded. D) a proportionately small change in price leads to a proportionately small change in quantity demanded.