If the Federal Reserve wishes to increase the money supply it should decrease the discount rate and/or decrease the required reserve ratio and/or buy government securities on the open market
a. True
b. False
Indicate whether the statement is true or false
True
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If the fundamental value of the exchange rate is ________ than the official (fixed) exchange rate, the country has an ________ problem, and it will gain reserves
A) less; overvaluation B) greater; overvaluation C) less; undervaluation D) greater; undervaluation
When Country X has high economic growth, this country has
A) a high level of real Gross Domestic Product (GDP). B) a high level of per capita real Gross Domestic Product (GDP). C) a large increase in per capita real Gross Domestic Product (GDP). D) a large increase in personal income.
If the government enacts contractionary fiscal policy, it is most likely at which of the following equilibria in the graph shown?
A. A
B. B
C. C
D. D
If an individual possesses an ability that others cannot acquire, payment to that individual is
a. partly economic rent. b. a return called the real wage. c. a return from investment in human capital. d. comparable to the return to well-trained nurses.