Which of the following will increase aggregate demand in the United States?
a. A higher price level.
b. An increase in the real interest rate.
c. An increase in wealth due to a substantial appreciation in the value of stocks.
d. A decrease in real income in Japan and Western Europe.
c
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Suppose Marquette Bank and Trust has $10 million in total deposits and the required reserve ratio is 7%. How many dollars must the bank keep in its vaults or on deposit at a Federal Reserve Bank?
A) $9.3 million B) $7 million C) $930,000 D) $700,000 E) None of the above—it's the bank's own choice.
How is it possible to have a separation between ownership and control of a major corporation? What specific type of market imperfection can cause this?
What will be an ideal response?
Any dominant equilibrium implies:
a. a sequential game b. instability c. a price-taking equilibrium d. a Nash equilibrium
A monopolist can sell 6 units per day at $8 per unit, or 7 units per day at $7 per unit. Its marginal revenue for the seventh unit of output is: a. $49. b. $7
c. $1. d. $-1.