There is much debate about whether the U.S. government should eliminate the penny from circulation and instead round all prices to the nearest 5 cents for everyday cash transactions. Which function of money does a penny not serve well?
a) Medium of exchange
b) Unit of account
c) Store of value
d) The penny does not serve any of the functions of money well.
Ans: a) Medium of exchange
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Which of the following is an example of a fiscal policy?
A) The federal government increases income tax rates on people earning more than $250,000. B) The Federal Reserve takes action to greatly decrease the money supply. C) The Federal Reserve increases interest rates. D) Businesses begin to export and import more products and services.
A 1995 evaluation concluded that programs that emphasized labor force attachment (work experience) were much more successful than programs that emphasized human capital development
Indicate whether the statement is true or false
An increase in the supply of oranges in a town drives down its price by 5 percent. Which of the following changes will be observed in the market?
a. The demand for oranges will decrease. b. The demand for oranges will increase. c. The quantity of oranges demanded will increase. d. The quantity of oranges demanded will decrease.
In 2010, President Obama signed into law that made the Federal Reserve as the nation's
A. fiscal policy making unit. B. largest private bank. C. regulator of systemic financial risk. D. federal income tax collector.