Which of the following price indexes includes consumption, investment, government spending, and net exports?
a. The Personal Consumption Expenditure Index
b. The GDP deflator
c. The International Price Index
d. The Producer Price Index
b
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Since 2008, the Fed has conducted a policy that involves direct lending to private firms. Those actions of the Fed are called
A) open market operations. B) quantitative easing. C) federal funds rate targeting. D) credit policies.
The portion of the money supply controlled by a central bank is
a. currency. b. deposits. c. reserves. d. the monetary base. e. the money multiplier.
At higher interest rates, people will hold more money.
a. true b. false
Reverse engineering is the process of a firm buying other firms' products and:
A. copying them within the limits of law. B. copying them unlawfully. C. selling them in the black market for an exorbitant price. D. selling them in the market for a cheaper price than those firms do.