International capital flows are:
A. sales of domestic goods or services to foreigners.
B. purchases of foreign goods or services.
C. purchases or sales of real and financial assets across international borders.
D. exports plus imports.
Answer: C
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The relationship between borrowed reserves (BR), the nonborrowed monetary base (MBn), and the monetary base (MB) is
A) MB = MBn - BR. B) BR = MBn - MB. C) BR = MB - MBn. D) MB = BR - MBn.
The Baumol-Tobin analysis suggests that a decrease in the brokerage fee for buying and selling bonds will cause the demand for money to ________ and the demand for bonds to ________
A) increase; increase B) increase; decrease C) decrease; decrease D) decrease; increase
Favorable supply shocks should produce rapid economic growth with falling inflation
a. True b. False Indicate whether the statement is true or false
For wages to be higher without sacrificing jobs, productivity must decrease.
Answer the following statement true (T) or false (F)