Which of the following will lower the money multiplier?
a. An increase in the currency/checkable deposit ratio
b. A decrease in the excess reserve/checkable deposit ratio
c. A decrease in the required reserve/checkable deposit ratio
d. Either a or b
e. All of the above
A
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Increase in the number of transactors makes it difficult to negotiate private agreements for environmental goods
a. True b. False Indicate whether the statement is true or false
A fiscal policy that reduces taxes or increases government spending will cause a(n)
a. increase in real GDP and a decrease in the price level. b. increase in real GDP and an increase in the price level. c. decrease in real GDP and a decrease in the price level. d. decrease in real GDP and an increase in the price level.
The above diagram is best described as an idealized:
A. prosperity cycle. B. recession cycle. C. business cycle. D. cyclical variation.
A huge snow storm that disrupted U.S. economic activity is known as
A. an external shock. B. an internal shock. C. a demand shock. D. an expansion.