A boom in the stock market affects the economy because
A. the Fed feels it can increase the money supply without worry.
B. the stock market boom takes pressure off social security.
C. brokers make a lot of money.
D. wealth of households grow as the stock market booms.
Answer: D
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Using the figure above, which of the following statements is (are) correct?
i. MR = MC when 3 haircuts are produced. ii. If the firm charges each customer the same price for a haircut, the price of a haircut is $42. iii. The firm's MC equals $30. A) i only B) ii only C) i and ii D) i and iii E) None of the above is correct.
Small investors face
A) high transactions costs in financial markets. B) low transactions costs in financial markets. C) high transactions costs in financial intermediaries. D) high information costs in financial intermediaries.
The Keynesian perspective supports that government should play a very active role in managing the economy.
Select whether the statement is true or false. A. True B. False
Which of the following transactions would be governed by the rules of the EEC?
a. Russia's trade with Canada b. the U.S.'s trade with Russia c. Brazil's trade with Bolivia d. France's trade with Greece e. China's trade with Japan