Money is created when

A. a bank gives you a $1,000 loan.
B. you pay back a $1,000 loan to a bank.
C. you write a check for $1,000.
D. you deposit $1,000 cash to be deposited in your checking account.


A. a bank gives you a $1,000 loan.

Economics

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Refer to the figure below. In response to gradually falling inflation, this economy will eventually move from its short-run equilibrium to its long-run equilibrium. Graphically, this would be seen asĀ 

A. long-run aggregate supply shifting leftward B. Short-run aggregate supply shifting upward C. Short-run aggregate supply shifting downward D. Aggregate demand shifting leftward

Economics

Economists measure opportunity cost

A) as equal to the sum of all the sunk costs. B) only when it is on the margin. C) as the best thing given u

Economics

Researchers at the Federal Reserve found that M2 money demand functions performed ________ in the 1980s, with M2 velocity moving ________ with the opportunity cost of holding M2

A) poorly; erratically B) poorly; closely C) well; erratically D) well; closely

Economics

Big Roads and Big Pavers are two competing road construction firms. The managers of these two firms should never undertake all of the following actions except which one?

A) agree to not submit a bid on a government road contract B) share information and experiences from implementing new government safety standards C) agree to only operate in a specific area of the country D) adjust the amount they bid on a government road contract

Economics