One of the major criticisms of the World Bank is that it lends funds
A) to countries which could easily borrow funds from other sources.
B) to terrorist groups not affiliated with any country.
C) to impoverished nations.
D) to industrialized nations.
A
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Suppose a bank has $1,500,000 in deposits and the desired reserve ratio is 12 percent. If the bank is currently holding $200,000 in reserves, the excess reserves are equal to
A) zero. B) $180,000. C) $120,000. D) $20,000.
When a price floor is above the equilibrium price,
a. quantity demanded will exceed quantity supplied, so there will be a shortage. b. quantity supplied will exceed quantity demanded, so there will be a surplus. c. the market will be in equilibrium. d. This is a trick question because price floors are generally set below the equilibrium price.
Select the graph above that best shows the change in the market specified in the following situation: In the market for wheat, when the cost of fertilizer decreases.
Graph A Graph B Graph C Graph D
Discuss whether the economy would be more or less efficient if public corporations issued fewer shares of stock.
What will be an ideal response?