When the Fed buys U.S. government securities from a member bank, _____
a. there is a decrease in its assets
b. there is an increase in its assets
c. there is a decrease in its liabilities
d. there is an increase in its liabilities
e. its total assets and liabilities remain unchanged
e
You might also like to view...
The "real" price of a good is known as
A) the absolute price of the good. B) the dollar price of the good since we use dollars in the United States. C) relative price of the good. D) the price actually paid for a good instead of the sticker price.
Annual deaths from medical issues related to tobacco use are approximately
a. 100,000 b. 220,000 c. 330,00 d. 440,000 e. 550,000
If the Fed wanted to decrease the money supply, one way to make an enormous impact would be to:
A. increase the reserve requirement, which would decrease the money multiplier. B. decrease the reserve requirement, which would decrease the money multiplier. C. increase the reserve requirement, which would increase the money multiplier. D. decrease the reserve requirement, which would increase the money multiplier.
Preferential trade agreements have a beneficial trade-diversion effect when they reduce prices for traded goods and stimulate the volume of international trade
a. True b. False Indicate whether the statement is true or false