Which of the following is a monetary policy tool used by the Federal Reserve Bank?
A. Decreasing the rate at which banks can borrow money from the Federal Reserve
B. Increasing the reserve requirement from 10% to 12.5%
C. Buying 500 million worth of government securities, such as treasury bills
D. All of the above
Ans: D. All of the above
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Most development economists agree that the most basic and important task of any government is to:
A. create a stable political system. B. provide national health care system. C. maintain a stable currency. D. ensure basic education for all citizens.
NGOs seem to do a better job than national policies because they:
a. can enforce regulations. b. are better organized. c. target the worst offenders. d. target the worst offenders and are better organized.
Over the last 100 years or so, the U.S. economy has grown annually at an average rate of:
A. 1 %. B. 3 %. C. 4 %. D. 2 %.
One way the government can boost the economy out of a recession is:
A. with public announcements telling the public to save their money. B. by increasing government spending. C. by setting price ceilings on most goods so people can afford them. D. None of these will help an economy in recession.