Under the PCA guidelines, the FDIC must start closure proceedings on a bank once its leverage ratio falls below __________ percent
A) 0
B) 2
C) 5
D) 10
B
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A world price of a good:
A) is the lowest price for which the good is available in any country in the world. B) is the price prevailing in the country with the highest production of the good. C) is equal to the lowest opportunity cost of producing the good in any country in the world. D) is the prevailing price of the good on the global market.
Cupcakes and granola bars are substitutes in consumption. The price of a granola bar increases so the demand for
A) granola bars will increase, that is, the demand curve will shift rightward. B) cupcakes will increase, that is, the demand curve will shift rightward. C) granola bars will decrease, that is, the demand curve will shift leftward. D) cupcakes will decrease, that is, the demand curve will shift leftward.
In the market for jeans, which of the following events increases the de-mand for a pair of jeans?
A. The wage rate paid to garment workers rises. B. The price of a denim skirt (a substitute for jeans) rises. C. The price of denim cloth falls. D. New technology reduces the time it takes to make a pair of jeans.
When a country borrows from the IMF
A) it receives all the funds from the loan at once. B) it receives funds in tranches, each dependent on the completion of reform targets. C) it is free of conditions. D) it can be any amount that the country requests.