From where do most of a bank's profit come?
a. Issuing currency.
b. Subsidies from the Federal Reserve.
c. Lending out funds and charging interest.
d. Buying and selling bonds.
e. Selling mutual fund shares.
C
You might also like to view...
The Bubby Gum factory produces bubble gum. Joanne is one of the employees, and she produces 10 packs of bubble gum per hour. Joanne's money wage rate is $12 per hour. If a packet of bubble gum sells for $1.00, then Joanne ________ because ________
A) should recommend that the Bubby Gum company should decrease the price of the bubble gum ; it would sell more and bring a larger profit B) is creating a $2.00 per hour profit for the firm; her real wage rate is more than her output per hour C) is creating a $2.00 per hour loss for the firm; her real wage rate is more than her output per hour D) should ask for a raise in pay; then her real wage would be less than her output per hour E) is the last person the Bubby Gump company will employ; an additional hire would produce equal the amount of additional labor to real wage per hour
In the graph of the Solow growth model, at any point to the right of the steady-state intersection we have national saving per person ________ than steady-state investment per person, causing (K/N) to ________
A) greater, increase B) greater, decrease C) less, increase D) less, decrease
If consumers are loyal to the products of an existing firm, this loyalty may
a. reduce the incentives for the firm to invest b. result in more responsive management and better quality products c. reduce the demand for imported goods d. serve as a barrier to new entry into the market e. force the firm to produce at higher costs
Investment spending is inversely related to the interest rate
a. True b. False