If the Fed wants to reduce the value of the dollar, it will
A) sell foreign assets and buy dollars.
B) sell dollars and buy foreign assets.
C) buy foreign assets and also buy dollars.
D) sell foreign assets and also sell dollars.
B
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In Figure 5-18, point D for the consumer
A. will be chosen because total utility is larger there than at point C. B. would not be chosen because it is less desirable than point C. C. is unattainable, given the consumer’s budget. D. has total utility equal to point C.
When economists say that mortgages are "securitized" what do they mean by this description?
What will be an ideal response?
If an industrial union would strike if it does not receive a particular wage rate, then the supply curve of labor in this market
a. is horizontal at that particular wage rate until it intersects the original supply of labor curve b. is vertical at that particular wage rate until it intersects the original supply of labor curve c. shifts to the left d. disappears e. slopes downward
Implicit costs are the
a. opportunity costs of using resources owned by the entrepreneur in his/her own business b. payments the business owner must make on borrowed funds c. costs which vary as the level of output varies d. payments the business owner makes in cash e. payments the business owner makes for public relations, such as donations to charity