Money is created by
A) government taxation.
B) banks taking in deposits.
C) banks making loans.
D) banks paying for depositor's insurance.
C
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Jordan recently quit her job as a marketing consultant in Washington, D.C. and is looking for a better-paying job with an advertising agency in New York. Jordan is considered to be
A) cyclically unemployed. B) structurally unemployed. C) not in the labor force. D) frictionally unemployed. E) a discouraged worker.
Prices of smartphones (assume that this is a normal good) have fallen in recent years. Over this same period, the price of the components used to produce smartphones has also fallen and consumer incomes have risen
Which of the following best explains the falling prices of smartphones? A) The supply curve for smartphones has shifted to the right while the demand curve for smartphones has shifted to the left. B) The supply curve for smartphones has shifted to the right more than the demand curve has shifted to the right. C) The demand curve and the supply curve for smartphones have both shifted to the left. D) The demand curve for smartphones has shifted to the right more than the supply curve has shifted to the right.
An industry analyst observes that in response to a small increase in price, a competitive firm's output sometimes rises a little and sometimes a lot. The best explanation for this finding is that
A) the firm's marginal cost curve is random. B) the firm's marginal cost curve has a very small positive slope. C) the firm's marginal cost has a very large positive slope. D) the firm's marginal cost curve is horizontal for some ranges of output and rises in steps. E) the firm's marginal cost curve is downward sloping.
Recall the Application about housing prices in Cuba to answer the following question(s).Recent housing reforms in Cuba should give homeowners ________ incentives to repair their homes and therefore ________ construction of new homes.
A. more; decrease B. more; increase C. fewer; decrease D. fewer; increase