The industrial organization or (IO) perspective predicts
a. firm's profitability differs only if they are in different industries
b. firms within an industry are equally profitable
c. firm's profitability within industries varies widely
d. Only A&B
d
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Transactions deposits include
A) credit cards. B) certificates of deposit. C) lines of credit. D) checkable and debitable accounts.
Real economy took a sharp turn for the worse immediately after the bankruptcy filing by Lehman Brothers on September 15, 2008.
Answer the following statement true (T) or false (F)
The discount rate is the interest rate
a. commercial banks charge their low-risk customers for a loan. b. savings and loan associations pay for using savings deposit funds. c. the U.S. Treasury pays individuals who buy Treasury bonds in denominations of $10,000 or more. d. the Federal Reserve charges banking institutions for borrowing its funds.
When the Fed announces that it is raising the federal funds rate, this signals its intention to _______ bonds in the open market and _______ the money supply.
A. Buy; reduce B. Buy; increase C. Sell; reduce D. Sell; increase