Which of the following is an asset on the consolidated balance sheet of the Federal Reserve Banks?
A. Loans to commercial banks.
B. Federal Reserve Notes in circulation.
C. Treasury deposits.
D. Reserves of commercial banks.
A. Loans to commercial banks.
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A rapid increase in the number of workers, other things the same, is likely in the short term to
a. raise real GDP per person, but decrease real GDP. b. decrease both real GDP and real GDP per person. c. raise both real GDP and real GDP per person. d. raise real GDP, but decrease real GDP per person.
The value of a stock is based on the
a. present values of the dividend stream and final price. As a result, the value of a stock rises when interest rates rise. b. present values of the dividend stream and final price. As a result, the value of a stock falls when interest rates rise. c. future values of the dividend stream and final price. As a result, the value of a stock rises when interest rates rises. d. future values of the dividend stream and final price. As a result, the value of a stock falls when interest rates rise.
The production possibilities curve shows various combinations of two products that an economy can produce when there is full employment and economic efficiency.
a. true b. false
Bill and Krista sell potted plants from a roadside stand. The figure above shows Bill and Krista's marginal cost curve and the market price. If Bill and Krista sell 60 plants per week at $8 per plant, their producer surplus from all their plants is
A) $8. B) $480. C) $240. D) $0. E) More information is needed to answer the question.