If commercial banks are maintaining a 4 percent reserve/deposit ratio and the Fed raises the required reserve ratio to 6 percent, then banks will ________ their loans based on current deposits, and the money supply will ________.
A. decrease; decrease
B. increase; increase
C. decrease; increase
D. increase; decrease
Answer: A
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Suppose the relationship between a person's age and his or her height is plotted with the age measured along the x-axis and the height measured along the y-axis. Then, the curve showing this relationship is
A) a straight line with a positive slope. B) positively sloped and becoming less stee
Rent controls
A) create a deadweight loss. B) increase maintenance by landlords. C) benefit people who live in rent controlled apartments. D) Both answers A and C are correct. E) Both answers B and C are correct.
If a nation's population grows at 2 percent and its real GDP grows at 4 percent, what is the growth rate of real GDP per person?
What will be an ideal response?
In 1970 the Social Security tax rate was ______ and had increased to ______ by 2012.
A. 0.84%; 0.124% B. 12.4%; 8.4% C. 8.4%; 12.4% D. 84%; 124%