With quantitative easing, the Fed purchases _____________________. With open market operations, the Fed purchases ______________________________

A) short-term and long-term government securities, as well as private sector bonds and securities; short-term government securities
B) short-term government securities, only; long-term government securities, only
C) long-term government securities, only; short-term government securities, only
D) government securities, only; private sector bonds and securities


A

Economics

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A supply curve that is horizontal reflects a supply that

A) is elastic. B) is inelastic. C) is unit elastic. D) has a zero elasticity.

Economics

When each stockholder incurs a tax liability on his or her share of the earnings of a corporation (whether or not the earnings are distributed), this is known as

A. being fully funded. B. full integration. C. full loss offset. D. fully imputed rent.

Economics

A monopolist faces a demand curve given by P = 20 - Q and has total costs given by TC = Q2. By using a bit of calculus, you should be able to determine that the firm's marginal revenue is MR = 20 - 2Q and its marginal cost is MC = 2Q. Now suppose that the country in which this monopolist is located decides to engage in international trade. The world price of the product produced by the monopolist is $12. What is the monopolist's profit-maximizing output level?

a. 5 b. 6 c. 7 d. 8

Economics

In normal times, the actual money multiplier in the United States is:

A. sometimes negative during a recession. B. approximately equal to 10. C. approximately equal to 3. D. 0 in the long run and 3 in the short run.

Economics