The Federal Reserve stepped in to help
A. Bear Stearns but not Lehman Brothers.
B. Lehman Brothers but not Bear Stearns.
C. both Bear Stearns and Lehman Brothers.
D. neither Bear Stearns nor Lehman Brothers.
Answer: A
You might also like to view...
Which of the following are separate flows in the circular flow model?
A) the flow of income received by households and the flow of tax revenues paid by households B) the flow of income earned from the sale of resources and the flow of expenditures on goods and services. C) the flow of goods and the flow of services D) the flow of costs and the flow of revenue
The invisible hand enforces the tendency toward
a. MR = MU. b. MC = P = MU. c. MC = MPP = P. d. MRP = MPP = P.
If a firm in a competitive market doubles its number of units sold, total revenue for the firm will
a. more than double. b. double. c. increase but by less than double. d. may increase or decrease depending on the price elasticity of demand.
Which of the following would those in favor of increasing government spending rather than decreasing taxes to prop up aggregate demand probably not agree with?
a. Traditional Keynesian analysis indicates that increases in government purchases are a more potent tool than decreases in taxes for increasing aggregate demand. b. Increased government spending on "shovel-ready" projects can be helpful to boost aggregate demand. c. Increases in government spending offer a greater "bang for the buck" than decreases in taxes. d. When the government gives a dollar in tax cuts to a household, that dollar immediately and fully adds to aggregate demand.