If the potential money multiplier is 5, a $1 initial increase in demand deposits must lead to a $5 increase in demand deposits

Indicate whether the statement is true or false


F

Economics

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The Jordanian government might consider devaluing its currency (the dinar)

a. if domestic inflation is high b. if Jordan has a large trade deficit c. if Jordan has achieved full employment d. if the dollar is appreciated e. if Jordan has a large trade surplus

Economics

Last year your job at the university cafeteria paid you $9 an hour and the price of a music download was $1.00 . This year your cafeteria job pays $9.90 per hour and download costs $1.10 . You are clearly

a. worse off because of inflation. b. worse off because the download is now relatively more expensive. c. better off because your wage rate went up. d. better off because the download now costs less work.

Economics

If a tax is levied on the buyers of a product, then there will be a(n)

a. downward shift of the supply curve. b. upward shift of the supply curve. c. movement up and to the right along the supply curve. d. movement down and to the left along the supply curve.

Economics

Which of the following represents the firm's short-run condition for shutting down?

a. shut down if TR < TC b. shut down if TR < FC c. shut down if P < ATC d. shut down if TR < VC

Economics