Gresham's Law is the tendency for low-quality money to drive high-quality money out of circulation.

a. true
b. false


Ans: a. true

Economics

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Which of the following led to a "bank jog" in Greece?

A) high unemployment B) high inflation C) speculation that Greece would abandon the euro D) the default of several Greek banks

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Demand-pull inflation is more likely to occur when the economy is producing at maximum capacity

a. True b. False Indicate whether the statement is true or false

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Leverage is essential to a bank's profitability but it also increases risk

a. True b. False Indicate whether the statement is true or false

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When the average cost of a typical firm declines as the output of the industry within a geographic area increases it is referred to as

A. external scale economies. B. internal scale diseconomies. C. internal scale economies. D. constant returns to scale.

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