The Fed can increase the federal funds rate by
A) buying Treasury bills, which increases bank reserves.
B) selling Treasury bills, which decreases bank reserves.
C) buying Treasury bills, which decreases bank reserves.
D) selling Treasury bills, which increases bank reserves.
B
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Refer to the information provided in Figure 23.3 below to answer the question(s) that follow.
Figure 23.3Refer to Figure 23.3. For this society, aggregate saving is ________ if aggregate income is above $200.
A. equal to aggregate consumption B. zero C. negative D. positive
It is widely believed that the Federal Reserve's most important function is
A) to provide loans to the federal government. B) to regulate the money supply. C) to set the legal, controlled consumer interest rates. D) to lend to risky customers.
In the figure above, if the market for jackets were perfectly competitive, in long-run equilibrium, each firm would sell ________ jackets per day at ________ per jacket
A) 132; $122 B) 100; $130 C) 100; $80 D) 128; $114
Consider the two graphs above. Suppose that technological progress is expected to reduce the future cost of capital goods. This would ________ the desired level of the capital stock, as depicted in graph ________
A) increase; B B) increase; A C) decrease; B D) decrease; A