When the competitive market system does not allocate resources to economically desirable goods, economists say what has occurred?
A. Productive inefficiency
B. Market failure
C. Government failure
D. Externalities
Answer: B
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A risk averse person has diminishing marginal utility of wealth
Indicate whether the statement is true or false
The year in which euro coins and paper currency were introduced and participating "euro zone" countries withdrew old domestic currencies from circulation was
A) 2007. B) 2002. C) 1999. D) 1995.
If a bank has excess reserves of $7,000 and demand deposit liabilities of $100,000, and if the reserve requirement is 10 percent, then the bank has actual reserves of
A) $14,000. B) $17,000. C) $22,000. D) $27,000.
The phenomena of unemployment, discouragement, marginal attachment, and underemployment combine to form the concept of "subemployment."
Indicate whether the statement is true or false