Refer to the information provided in Figure 20.5 below to answer the question(s) that follow.
Figure 20.5Refer to Figure 20.5. The domestic price of oil is $130 per barrel, and the world price of oil is $120 per barrel. If the domestic government imposes a tariff of $10 per barrel, it will
A. import 5 million barrels.
B. export 5 million barrels.
C. export 7 million barrels.
D. import zero barrels.
Answer: D
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Refer to the above figure. Suppose point A is the original equilibrium. If there is an increase in the money supply, the new long-run equilibrium is given by point
A) A. B) B. C) C. D) D.
Which of the following financial institutions went bankrupt as a result of the financial crisis that began in 2008?
A) Lehman Brothers B) Bank of America C) Citigroup D) JP Morgan
Which statement is false?
A. During the Great Depression millions of working-class and middle-class people demanded welfare payments. B. Until the 1930s the prevalent theory of poverty was that the poor were lazy. C. The heritage of slavery theory explains most poverty in this country. D. None of these statements are false.
Excess reserves are important to a banker because
A. if they are not maintained, banking regulators may shut the bank down. B. they are the profits that are divided among the bank's owners. C. they represent the funds available to use to acquire income-producing assets such as loans and securities. D. they indicate profitable banking practices.