Repurchase agreements are often used to
A) increase bank reserves permanently.
B) increase bank reserves temporarily.
C) reduce bank reserves permanently.
D) reduce bank reserves temporarily.
B
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Refer to Figure 15-7. Suppose the Fed sells Treasury Bills in pursuit of contractionary monetary policy. Using the static AD-AS model in the figure above, this situation would be depicted as a movement from
A) B to C. B) B to D. C) C to B. D) C to D. E) A to B.
Which one of the following is NOT a determinant of demand?
A) prices of related goods B) cost of inputs in production C) income D) future price expectations
Which of the following statistics can turn negative?
A. inflation rate B. CPI C. unemployment rate D. GDP
Society will produce the efficient mix of output if all firms equate
A. price and average total cost. B. marginal cost and average total cost. C. price and marginal revenue. D. price and marginal cost.