Which one of the following statements is TRUE?
A. Demand deposits are assets of a bank.
B. A bank's assets plus its liabilities must equal zero.
C. A bank's reserves can only be kept as cash in its vault.
D. Assets generate income for a bank.
Answer: D
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Which of the following is true of the wage gap between the top 10% of earners and the bottom 10% of earners in the U.S. economy?
A) The wage gap has increased over time. B) The wage gap has decreased over time. C) The wage gap has remained the same over time. D) There is hardly any wage gap between the top 10% of earners and the bottom 10% of earners in the U.S. economy.
Which of the following are types of economic markets? I. perfectly competitive II. oligopoly III. monopoly IV. multilateral
A) I and II B) II and III C) I and IV D) I, II and III
An example of a transaction that will be a surplus item on the U.S. balance of payments is
A) a U.S. resident purchasing French wine. B) a French subsidiary's plant in New Jersey purchasing parts from the main plant in Paris. C) a gift of wheat from the U.S. government to India. D) a tourist from Germany buying a ticket to fly from New York to Chicago on American Airlines.
Which of the following is the term for an innovative new product or production technology that disrupts the status quo in a market, leading the innovators to earn more income and profits and the other firms to either lose income and profits, or come up with their own innovations?
a. disruptive technological change. b. disruptive market change. c. disruptive trade change. d. disruptive transfer change.