They gave a lot of these mortgage backed-securities AAA rating
What will be an ideal response?
the best of the best, and back when mortgages were only for borrowers with good credit, mortgage debt was a good investment.
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One important difference between monopoly and monopolistic competition is the
A) slope of the demand curve that the firms faces. B) point there are no barriers to entry in monopolistic competition. C) greater restriction of output in monopolistic competition. D) result that the marginal revenue and demand curves are the same for a monopoly.
Which of these changes was observed in the U.S. between 1929 and 1933?
a. The aggregate supply curve shifted inward with no change in the aggregate demand curve. b. The aggregate demand curve shifted inward with no change in the aggregate supply curve. c. The aggregate demand curve shifted outward with no change in the aggregate supply curve. d. The aggregate supply curve shifted outward with no change in the aggregate demand curve. e. The aggregate supply and demand curves both shifted outward.
The required reserve ratio is the:
a. actual amount of reserves that banks must hold. b. excess amount of reserves that a bank must hold. c. minimum amount of reserves the Fed requires a bank to hold. d. total amount of reserves that banks hold at all times. e. maximum amount of reserves that banks can hold to remain liquid.
A more elastic demand for a good would generally result from
a. an increase in the supply of that good b. an increase in the number of substitutes for that good c. a decrease in the number of substitutes for that good d. smaller consumer incomes e. a reduction in the number of consumers