Which of the following is true of banks?
a. Banks reduce the opportunity cost of holding idle cash
b. Banks act as intermediaries between the government and private investors.
c. Banks can reduce risk by lending to rich borrowers.
d. Banks reduce the transaction costs of borrowing and lending money.
e. Banks can reduce risks by extending more loans.
d
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Which statement is true?
A. The number of people living on family farms has been increasing in recent years. B. Most farm subsidy payments go to large corporate farms. C. The United States' huge agricultural surpluses have completely eliminated starvation in this country. D. None of the statements are true.
Which of the following concepts are illustrated by the production possibilities curve?
a. scarcity b. choice c. trade-offs d. all of the above
Why does a toothbrush have an inelastic demand and an automobile have an elastic demand?
What will be an ideal response?
According to "Oil Spikes On OPEC Pact," OPEC wants to behave like a monopoly, choosing a rate of industry output that maximizes total industry profit. The challenges for all cartels, OPEC in particular, include all of the following except
A. Replicating monopoly outcomes. B. Coordination. C. Allocating market share. D. Preventing some members from decreasing production.