The government bailed out banks deemed too big to fail through all of the followings except:
A. the Troubled Asset Relief Program, commonly known as TARP.
B. increased government spending.
C. breaking them to several entities.
D. fiscal policy.
Answer: C
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Many mining and mineral extraction processes tend to exhibit increasing returns to scale
Suppose copper mines have increasing returns, and the existing copper mines reduce their capital and labor inputs by 25 percent in response to a global recession. What is the expected impact on copper output? A) Output increases by less than 25 percent B) Output decreases by less than 25 percent C) Output decreases by exactly 25 percent D) Output decreases by more than 25 percent
Economists believe that most individuals act as if they are motivated by self-interest and: a. respond selfishly
b. respond in predictable ways to changing circumstances. c. it leads to inconsistent and unpredictable behavior. d. all of the above.
In the short run, a profit-maximizing firm will shut down if its total revenue is greater than its variable costs
Indicate whether the statement is true or false
With fixed exchange rates, an increase in the foreign inflation rate, with constant income and domestic credit, will lead to
A) a change in the exchange rate. B) an increase in international reserves. C) a decrease in international reserves. D) no change in international reserves.