If the Fed were to purchase euros for dollars and at the same time sell U.S. Treasury securities in the open market, this would be an example of:
A. the Fed not changing their balance sheet at all.
B. the Fed altering the domestic monetary base.
C. an unsterilized foreign exchange intervention.
D. a sterilized foreign exchange intervention.
Answer: D
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In a simple economy (without government or foreign trade) where output can be purchased only by consumers or by firms, saving must equal
A) depreciation. B) income. C) consumption. D) investment.
Data indicates that recessions following financial crises ________ recessions which do not follow financial crises
A) are more severe than B) are equally severe as C) are less severe than D) Data does not show any link between the severity of recessions following financial crises.
When economists refer to the role of money as a unit of account, they mean that
A) most accounting systems reflect that goods are purchased with currency. B) most accounting systems reflect that goods are purchased with checks. C) money gives traders a way of measuring value in the economy. D) money makes it possible for specialization to take place.
Resource-Advantage Theory developed by Shelby Hunt includes the ideas of family competence or household competence and that __________ is part of family resource management
a. Competition b. Cooperation c. Companionship d. Cognition