If the Fed carries out an open market operation and buys U.S. government securities, the federal funds rate ________ and the quantity of reserves ________
A) rises; increases
B) falls; increases
C) rises; decreases
D) falls; decreases
E) rises; does not change
B
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Why might product development be efficient and why might it be inefficient?
What will be an ideal response?
A firm in a perfectly competitive industry will expand output as long as: a. marginal revenue is less than average revenue. b. marginal cost is less than marginal revenue
c. marginal cost is less than average total cost. d. marginal revenue is less than average total cost.
If credit cards were suddenly ruled illegal and were no longer used, the most likely effect would be a decrease in the
a. demand for money. b. level of cash balances. c. average checking account balance. d. velocity of circulation.
If you hear that unemployment increased in the last year by 3.5 percentage points to 8 %it means:
A. 35 out of every 100 people lost their job in the last year. B. 8 out of every 1,000 people who want a job can't find one. C. 80 out of every 100 people who want a job can't find one. D. 35 out of every 1,000 people lost their job in the last year.