The money-creation multiplier is the
A) same as the income-determination multiplier.
B) amount by which the money supply would rise with a $1 increase in the supply of high-powered money.
C) amount by which the money supply of high-powered money will increase equilibrium GDP.
D) amount by which a $1 increase in reserves would raise an individual bank's deposit liabilities.
B
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Directors can make opportunistic choices to advance their personal interest when:
a. they plan to sell off the corporation stocks at inflated prices. b. they hold majority of the stocks in the corporation. c. they are aware that the cost of forming a new board of directors is high. d. their personal returns from the well being of the corporation is high.
Why do economists abstract, and is it appropriate?
Progressive taxation serves which of the following goals of economic welfare policy?
A. Economic growth B. Redistribution of wealth C. Progressive taxation has all of these goals aimed at reducing inequality. D. Social insurance
Developing countries tend to use ______ production methods.
a. labor-intensive b. capital-intensive c. highly technical d. completely automated