The policy tool of "credit easing" refers to the
A) Fed's purchase of private securities to stimulate banks' lending.
B) Fed's requirement that the federal government must lend to directly to home buyers.
C) federal government's requirement that the Fed must lend directly to home buyers.
D) Fed's lowering of the federal funds rate to zero.
E) Treasury's issuance of federal debt to finance home buying.
A
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The figure shows the demand curve for hotel rooms at a local resort
a. If the hotel charges $120 per night, how many rooms will they rent? b. If there are only 40 rooms available, how much are customers willing to pay for a room? c. If 60 rooms are available, how much are customers willing to pay? d. What do the dollars in your answer to part (c) represent?
A firm's total fixed cost equals $2,500 . The firm's average fixed cost at 1, 5, and 10 units of output, respectively, will be: a. $2,500, $2,500, and $2,500
b. $2,500, $500, and $250. c. $2,500, $12,500, and $25,000. d. $2,500, $1,250, and $250.
Which of the following would cause a firm's production function to shift upward?
A. Increased training for the firm's workers. B. An increase in factor costs. C. An increase in production by the firm. D. Hiring more workers.
If the price of one good goes up and the demand of a related good goes down, the two goods are
A. inferior goods. B. complements. C. normal goods. D. substitutes.