Changes in liquidity in the banking system affect ________
A) the nominal interest rate
B) the real interest rate
C) the federal funds rate
D) all of the above
E) none of the above
D
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Which of the following statements is true?
A) A long-run competitive equilibrium can only be achieved in constant-cost industries. B) When an industry achieves a long-run competitive equilibrium, industry output will not change in the future. C) A long-run competitive equilibrium outcome is not economically efficient. D) When an industry reaches a long-run competitive equilibrium, the typical firm in the industry breaks even.
The official poverty rate in the United States includes
A. over 35 percent of the population. B. between 20 to 25 percent of the population. C. between 10 and 15 percent of the population. D. less than 5 percent of the population.
A country in which a significant fraction of domestic production takes place in foreign-owned factories and facilities is most likely a country where
A) GNP is much larger than GDP. B) GDP is much larger than GNP. C) GDP is not comparable to GDP. D) GDP is equal to GNP.
Economic models are of limited use since they cannot be tested empirically
a. True b. False Indicate whether the statement is true or false