A fractional reserve banking system:
A. prevents the Federal Reserve from influencing the money supply.
B. prevents money creation through the lending process.
C. only tends to exist in developing economies.
D. is susceptible to bank panics.
Answer: D
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As a consequence of the problem of scarcity
A. only some people can "have it all." B. there is never enough of anything. C. individuals have to make choices from among alternatives. D. things that are plentiful have relatively high prices.
Behavioral economics helps explain why customers ________ at J.C. Penney
A) responded negatively to both sales and coupons and the policy of everyday low prices B) were equally happy with sales and coupons and the policy of everyday low prices C) favored the policy of everyday low prices and not sales and coupons D) favored sales and coupons and not the policy of everyday low prices
Which of the following groups has the highest poverty rate?
a. blacks b. Asians c. children (under age 18) d. female households, no spouse present
Except for recessions, the duration of unemployment for the typical person lasts
A) less than six months. B) six to nine months. C) over nine months. D) over one year. E) over five years.