The deposit expansion multiplier is increased if the Federal Reserve
A) buys government securities.
B) sells government securities.
C) lowers reserve requirements.
D) raises reserve requirements.
C
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Which of the following statements is CORRECT?
A) The United States produces more goods than services. B) The United States produces more services than goods. C) The United States produces more agricultural goods than manufactured goods. D) The United States produces an equal amount of goods and services.
The comparative advantage in a specific good can shift over time from one country to another, as the other countries can produce it at a cheaper cost after imitating the technology
a. True b. False Indicate whether the statement is true or false
Along a perfectly elastic demand curve,
a. the slope is always zero. b. the price elasticity of demand is 1. c. consumer purchases will not respond at all to a change in price. d. All of the above are true.
The price elasticity of demand for a variable input will be greater
A) the fewer substitutes there are for the final product. B) the easier it is for a particular input to be substituted for by other inputs. C) the lower the price elasticity of supply of all other inputs. D) the smaller the proportion of total costs accounted for by a particular variable input.