The monetary base is the
A) minimum reserve banks must hold to cover any losses from unpaid loans.
B) sum of coins, Federal Reserve notes, and banks' reserves at the Fed.
C) sum of gold and foreign exchange held by the Fed.
D) sum of government securities and loans to banks held by the Fed.
E) sum of coins, required reserves, and banks' loans.
B
You might also like to view...
The use of checks in transactions
A) entails lower information costs than the use of currency. B) entails fewer steps than settling transactions with currency. C) avoids the cost of transporting currency back and forth. D) entails lower information and fewer steps than settling transactions with currency.
Which of the following is not an example of a commercial bank's liabilities?
a. Checking account deposits. b. Any type of demand deposit. c. Loans. d. a and b. e. None of the above.
Government policy to reduce unemployment and increase national output can be illustrated by an
a. outward shift of the aggregate demand curve caused by an increase in government spending. b. outward shift of the aggregate supply curve caused by a reduction in government spending. c. inward shift of the aggregate demand curve caused by an increase in government spending. d. inward shift of the aggregate supply curve caused by a reduction in government spending.
??Firm 2???High PriceLow PriceFirm 1High PriceFirm 1 earns $100; Firm 2 earns $100Firm 1 earns $25; Firm 2 earns $150?Low PriceFirm 1 earns $150; Firm 2 earns $25Firm 1 earns $50; Firm 2 earns $50Table 12.2The Nash Equilibrium in the game shown in Table 12.2 is the cell in which:
A. both firms choose a low price. B. both firms choose a high price. C. Firm 1 chooses a low price and Firm 2 chooses a high price. D. Firm 2 chooses a low price and Firm 1 chooses a high price.