Describe the fractional reserve banking system
What will be an ideal response?
Banks hold a portion of deposits in required reserves lending out the excess reserves. The loans generated return to the banking system in the form of deposits at which time the process of holding a portion in required reserves and lending out the excess continues.
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The demand for labor curve is
A) upward sloping at potential GDP and downward sloping elsewhere. B) vertical at potential GDP. C) downward sloping. D) upward sloping because firms demand labor.
Stocks are
A) promises to repay loans. B) a liability of a proprietorship. C) a liability of a corporation. D) shares of ownership in a corporation.
The economic field of industrial organization examines how firms' decisions about prices and quantities depend on the market conditions they face
a. True b. False Indicate whether the statement is true or false
The study of how people deal with energy scarcity is known as:
A. power economics. B. utility economics. C. energy economics. D. natural resource economics.