(Last Word) The greater the leverage in the financial system, all else equal:
A. the smaller the monetary multiplier.
B. the smaller the profit and loss margins of financial firms.
C. the greater the stability of the financial system.
D. the greater the instability of the financial system.
D. the greater the instability of the financial system.
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If the exchange rate depreciates, then the
A) demand for dollars decreases. B) quantity of dollars demanded decreases. C) supply of dollars decreases. D) demand for dollars increases. E) quantity of dollars demanded increases.
All of the following are arguments in favor of restricting trade EXCEPT
A) comparative advantage. B) protecting domestic jobs. C) protecting emerging industries. D) dumping.
If the equilibrium price of natural gas is $4 per thousand cubic feet and a price ceiling is imposed at $3 per thousand cubic feet, the result will be:
a. a surplus of natural gas. b. a shortage of natural gas. c. an accumulation of inventories of unsold gas. d. None of these.
Compared to Italy and Japan, the debt as a percentage of GDP in the US is
A. roughly equal. B. substantially greater. C. substantially smaller. D. slightly smaller.