Lowering the reserve requirement ________.
A. reduces the amount of excess reserves the banks keep
B. turns required reserves into excess reserves
C. increases the total reserves in the banking system
D. also reduces the discount rate
Answer: B
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Assume that Figure 4-16 shows the supply of new houses. An improvement in the technology for building houses will shift supply from
A. S1to S2. B. S2to S1. C. S3to S2. D. S3to S1.
Suppose that American firms claim that protectionism in Canada is on the rise as the Canadian government attempts to protect its infant industries with a "Buy Canadian" provision
This policy, similar to the original "Buy American" provision in the 2009 U.S. stimulus bill, is likely to cause A) Canadian companies to pay lower prices for protected products. B) exporting countries to retaliate by placing trade barriers on Canadian imports. C) most countries to reduce their own trade barriers to be able to better compete with Canadian imports at home. D) Canadian manufacturers to become more efficient.
Before 1815, Hughes and Cain (2011) claim, westward movement was blocked by
(a) disputed claims to western lands. (b) lack of government land sale surveys and offices. (c) hostile Indian tribes. (d) all of the above.
The official unemployment rate may not reflect the true state of unemployment because: a. Some workers may go through the motions of looking for work to keep their unemployment benefits, but not actually be looking for work. b. Some people who are working in the underground economy may be classified as unemployed
c. Some may leave the labor force and go back to school only because job conditions are currently poor. d. all of the above.