Which goes exclusively to the poor?
A. Medicaid
B. Medicare
C. Social Security
D. Unemployment insurance benefits
A. Medicaid
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When consumers decide to increase household debt, this action will
A. increase the amount consumed along a stable consumption schedule. B. shift the consumption schedule upward. C. decrease the amount consumed along a stable consumption schedule. D. shift the consumption schedule downward.
Since October 2008, Congress has granted the Fed an authority to
A) pay banks interest on both required reserves and excess reserves. B) charge banks interest on both required reserves and excess reserves. C) charge banks interest on required reserves but pay them interest on excess reserves. D) charge banks interest on excess reserves but pay them interest on required reserves.
A free-rider problem exists if
A) those consuming the good pay more than the cost of providing the good so that the producer's profits increase ("free ride") as a result of the overpayment. B) those consuming the good pay nothing for it. C) two consumers can jointly consume a good, which lowers the price per person. D) a firm can obtain technology at a fair price.
In an economy with no government or foreign sector, which of the following always holds true, ex-post?
A) Consumption equals investment. B) Velocity equals money demand. C) Saving equals consumption. D) Saving equals investment.