If the Fed purchases securities in the amount of $100,000 from First Union Bank, then the
A) liabilities of First Union decrease by $100,000.
B) assets of First Union Bank change in composition but not in amount.
C) assets of the Fed decrease by $100,000.
D) liabilities of the Fed change in composition but not in amount.
E) assets of First Union Bank decrease by $100,000.
B
You might also like to view...
The demand by all the consumers of a given good or service is the ________ for the good or service
A) market demand B) scheduled demand C) quantity demanded D) law of demand
The longest lag monetary policy suffers is the ________ lag
A) data B) recognition C) legislative D) transmission E) effectiveness
Suppose the government increases unemployment benefits, which are paid for with higher taxes on earnings. If the marginal propensity to consume is the same for both the beneficiaries of the unemployment benefits and the workers paying taxes, _____. a. GDP will first increase and then fall. b. There will be no change in real GDP. c. Real GDP will increase substantially. d. Real GDP will fall
substantially. e. GDP will first fall and then increase.
Which of the following is a distinguishing characteristic of oligopolies?
a. a standardized product b. the goal of profit maximization c. the interdependence among firms d. downward-sloping demand curves faced by firms e. a downward-sloping market demand curve