A reserve requirement of 10 percent implies a potential money deposit expansion multiplier of
A) 5.
B) 10.
C) 20.
D) 100.
Answer: B) 10.
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________ is the amount of money a government collects through a tax
A) Tax incidence B) Tax bracket C) Tax revenue D) Tax burden
Firms in a monopolistically competitive market structure maximize their profit by producing an output where:
a. price equals average total cost. b. marginal cost equals average total cost. c. marginal cost equals price. d. marginal revenue equals marginal cost.
The price level rises in the short run if
A. aggregate demand or aggregate supply shifts right. B. aggregate demand shifts right or aggregate supply shifts left. C. aggregate demand shifts left or aggregate supply shifts right. D. aggregate demand or aggregate supply shifts right.
The lack of investment in developing countries is at least in part attributable to:
A. high levels of foreign aid. B. low levels of domestic savings. C. inappropriate education. D. overpopulation.