How long does it take for the Fed's actions to have their intended effect?
A. 6—18 months
B. 19—24 months
C. 25—36 months
D. 0—5 months
Ans: A. 6—18 months
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A consumer will consume the combination of goods at the crossing point of a budget line and indifference curve.
Answer the following statement true (T) or false (F)
Based on opportunity cost, where would one expect to have the most difficulty finding a teenager to baby-sit?
A) A high-income area with lots of teenagers B) A low-income area with lots of teenagers C) A middle-income area with lots of teenagers D) Any income area because teenagers no longer like babysitting
The two primary explanations for the excess volatility of consumption are
A) consumers' limited life spans and credit market imperfections. B) credit market imperfections and changes in market prices. C) changes in market prices and distorting taxes. D) distorting taxes and consumers' limited life spans.
If a non-renewable resource is scarce, has constant marginal cost of production, and is sold in a competitive market,
A) its price will increase over time. B) its price will exceed marginal cost. C) its price will increase by the rate of interest. D) All of the above.