To speed up the economy, the Fed typically uses __________ monetary policy; and to fight against the high rate of inflation, the Fed typically uses __________ monetary policy.
a. expansionary; expansionary
b. expansionary; contractionary
c. contractionary; contractionary
d. contractionary; expansionary
b) expansionary; contractionary
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Special economic zones in China have been
A) the same as export processing zones. B) centers of economic reform. C) controlled by state run enterprises. D) closed to foreigners. E) poor regions that are targeted for industrial development.
In the aggregate production function, the symbol "A " represents an index of how efficiently the economy transforms capital and labor into real GDP. "A" measures the influence
A) of any factor that determines real GDP. B) of the quantities of capital and labor that determine real GDP. C) of any factor that determines real GDP other than the quantities of capital and labor. D) of the quantities of capital and labor that determine real GDP, holding other factors constant.
What are the steps involved in using options for a short sale of a stock?
What will be an ideal response?
A town engineer comes to the city council with a proposal to install a traffic light at a certain intersection that currently has a stop sign. The benefit of the traffic light is increased safety because the light will reduce the incidence of fatal traffic accidents by 50 percent per year. Which of the following statements is correct?
a. The city council should vote to install the traffic light because the benefits will outweigh the costs. b. The city council should carefully evaluate the benefits of reduced fatalities against only the explicit costs of the light. c. The city council should carefully evaluate the benefits of reduced fatalities against the costs of the light and of the extra time that drivers will spend waiting for a green light. d. The costs will invariably outweigh the benefits.