Which agency was created by Congress in 1914 to investigate and regulate unfair methods of competition?
a. Department of Justice.
b. Federal Trade Commission.
c. Interstate Commerce Commission.
d. General Accounting Office.
b
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Investors often pay professional analysts to gather and monitor information on the creditworthiness of borrowers because
A) federal law requires it. B) most investors are risk neutral. C) the cost of acquiring information about a borrower's creditworthiness can be high. D) doing so increases the net-of-tax yield on most investments.
When the Fed lowers the discount rate, it
a. lowers the cost of borrowing from the Fed, allowing banks to make more loans b. raises the cost of borrowing from the Fed, disallowing them from making the same quantity of loans c. increases the amount of excess reserves that banks hold, allowing them to make more loans d. increases the amount of excess reserves that banks hold, disallowing them from making the same quantity of loans e. decreases the amount of excess reserves that banks hold, disallowing them from making the same quantity of loans
One criticism against "supply-side" cuts in marginal tax rates is that they fail to:
A. Decrease disinflation in the economy B. Decrease demand-pull inflation in the economy C. Increase aggregate supply more rapidly than aggregate demand D. Increase aggregate demand more rapidly than aggregate supply
When quantity supplied is greater than quantity demanded, market price is _______ the equilibrium price.
Fill in the blank(s) with the appropriate word(s).