If the FDIC decides that a bank is too big to fail, it will use the ________ method, effectively ensuring that ________ depositors will suffer losses
A) payoff; large
B) payoff; no
C) purchase and assumption; large
D) purchase and assumption; no
D
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Keynesians are more likely to propose
A) contractionary monetary policy to eliminate an inflationary gap than expansionary monetary policy to eliminate a recessionary gap. B) contractionary monetary policy to eliminate a recessionary gap than contractionary monetary policy to eliminate an inflationary gap. C) expansionary monetary policy to eliminate a recessionary gap than contractionary monetary policy to eliminate an inflationary gap. D) none of the above; instead, Keynesians are as likely to propose expansionary monetary policy to eliminate a recessionary gap as they are to propose contractionary monetary policy to eliminate an inflationary gap.
Predatory pricing:
A. is when a firm intimidates others to maintain the high prices the largest firms set. B. is an aggressive business move to maintain market power. C. was used by DeBeers to maintain control over the diamond market. D. All of these statements are true.
Does an increase in the demand for Introductory Economics increase the cost to students of taking the course?
A) No, because tuition rates are not set to clear the market.
B) Not if the college refuses to hire additional people to teach the course.
C) Yes, if the course is consequently taught in a larger room, which costs more to heat.
D) Yes, insofar as students have to accept less satisfactory class schedules in order to take the course.
A price floor is:
A. the lowest price a producer will accept. B. the lowest price a consumer will pay. C. a minimum price set by the government above equilibrium price. D. a maximum price set by the government above equilibrium price