The Federal Reserve responded to the 2008 financial crisis in several ways. Which of the following is not one of the ways the Fed responded?
A) The Fed made investment banks eligible for discount loans.
B) The Fed lowered the required reserve ratio on demand deposit accounts in order to increase the amount of bank reserves.
C) The Fed helped JP Morgan to acquire Bear Stearns, a nearly bankrupt investment bank.
D) The Fed lent investment banks Treasury securities in exchange for mortgage-backed securities.
B
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Marginal utility is the change in:
a. total utility when an extra unit of output is produced. b. marginal utility when an extra unit of output is consumed. c. total utility when an extra unit of output is consumed. d. marginal utility when an extra unit of output is produced. e. average utility when an extra unit of output is consumed.
According to the Monetarists, the primary cause of inflation is:
a. large budget deficits. b. high taxes. c. rapid expansion of the money supply. d. government expenditures that are large relative to the size of the economy.
Who in the adult population is counted as "employed" in U.S. labor statistics?
a. people who are temporarily absent from their job and people who work without pay in a family member's business b. people who are temporarily absent from their job but not people who work without pay in a family member's business c. people who work without pay in a family member's business but not people who are temporarily absent from their job d. neither people who are temporarily absent from their job nor people who work without pay in a family member's business
Refer to the above table. When output rises from 2 units to 3 units, marginal costs are
A. $41. B. $10. C. $22. D. $7.