Open market operations are
A. the buying of existing corporate securities in secondary markets by private citizens, banks and the Fed.
B. the selling of new government securities in order to increase the money supply.
C. the buying and selling of existing U.S. government securities in open private markets by the Fed.
D. the actions of the Fed that are used to finance deficit financing by the government.
Answer: C
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A single-price monopoly can sell 1 unit for $9.00. To sell 2 units, the price must be $8.50 per unit. The marginal revenue from selling the second unit is
A) $17.50. B) $17.00. C) $8.50. D) $8.00. E) $9.00.
Nancy would like to double the money in her retirement account in five years. According to the rule of 70, what rate of interest would she need to earn to attain her objective?
a. 5 percent b. 7 percent c. 10 percent d. 14 percent
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A. supply; left B. demand; right C. demand; left D. supply; right
A monopolist faces a demand curve Q = 120 - 2p and has costs given by C(Q) = 20Q + 100
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