Which of the following instruments are traded in a capital market?
A) corporate bonds
B) U.S. Treasury bills
C) negotiable bank CDs
D) repurchase agreements
A
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Use the idea of the circular flow diagram to explain why the value of production equals total income equals total expenditure
What will be an ideal response?
A line item budget _____
a. groups expenditures by congressional district b. groups expenditures by the goals they are trying to achieve c. groups expenditures by the types of items that are purchased d. groups expenditures by special interest
Which of the following factors may lead to an underestimation of the significance of unemployment when evaluating the overall unemployment rate?
a. Involuntary full-time employment b. An increase in the number of military personnel c. Discouraged workers d. An increase in the number of people under the age of 16 e. A decrease in the number of institutionalized people
All of the following would be included in planned aggregate expenditure EXCEPT:
A. spending on consumer durables. B. sales of domestically produced goods to foreigners. C. interest paid on the government debt. D. planned changes in inventories.