If the federal funds rate were above the level the Federal Reserve had targeted, the Fed could move the rate back towards its target by
a. buying bonds. This buying would reduce reserves.
b. buying bonds. This buying would increase reserves.
c. selling bonds. This selling would reduce reserves.
d. selling bonds. This selling would increase reserves.
b
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What is a GDP deflator? Why do some economists consider the GDP deflator to be a better measure of overall inflation than the Consumer Price Index?
John gave up a night of pizza with friends to study for his calculus exam. He is illustrating which concept?
a. The Time Value of Money b. Opportunity Cost c. Sunk Cost d. Comparative Advantage
According to the efficient markets hypothesis, which of the following would decrease the price of stock in Veblen's Leisure Company?
a. Veblen announces, just as everyone had expected, that it has fired its CEO who has been accused of ethics violations. b. Veblen announces, as the market had expected, that its profits were low. c. Fundamental analysis published by KM Financial shows that Veblen's stock is undervalued. d. A highly anticipated book is published by a Veblen insider which details Veblen's innovative technology in plain English, information that was previously unavailable to the public and which will now be used by Veblen's competitors.
In the United States, the labor-force participation rate since 1960 has been
A. declining for both males and females. B. unchanged for both males and females. C. declining for females. D. increasing for females.