The money supply curve is vertical if
A) the Fed is able to completely determine the money supply.
B) banks and households determine the money supply.
C) banks and the Fed jointly determine the money supply.
D) households and the Fed jointly determine the money supply.
A
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To an economist, risky options:
A) are always bad options. B) are always good options. C) have costs and benefits fixed in advance. D) do not have costs and benefits fixed in advance.
Refer to the scenario above. Which of the following is likely to be true if the game is played only once?
A) The equilibrium outcome will be a Nash. B) The equilibrium outcome will be socially inefficient. C) No unique equilibrium will occur. D) Multiple Nash equilibria will occur.
The financial system is important because it helps to match one person's _____ with another person's _____
Fill in the blank(s) with correct word
Exhibit 2-11 Production possibilities curves
In Exhibit 2-11, which of the following could have caused the production possibilities curve to shift from the one labeled B to the one labeled A?
A. A major natural disaster. B. An increase in resources. C. An advance in technology. D. A decrease in unemployment.