A goldsmith with 100 gold coins in his safe and 400 goldsmith's receipts in circulation has a reserve ratio of
A. 400%.
B. 100%.
C. 50%.
D. 25%.
D. 25%.
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"When you purchase $1,000 of stock in Microsoft, your purchase is an investment and hence is part of GDP." Is this assertion correct? Explain your answer
What will be an ideal response?
Which of the following is TRUE about firms organized along functional lines?
a. Workers find it difficult to develop functional expertise b. Workers find it difficult to share information within their division c. They foster the exploitation of economies of scale d. All of the above
When policy makers decide to revalue the currency, such an action generally represents
A) an increase in the pegged value of the domestic currency. B) a decision to let the currency float. C) a reduction in the foreign price level. D) an increase in the domestic price level. E) none of the above
The Trump administration hopes that its program of infrastructure spending might expand employment by luring some prime-age workers back into the labor force. This would ________ the employment-population ratio, which would increase ________
A) increase; growth in labor productivity B) increase; the growth rate of hours worked C) decrease; growth in labor productivity D) decrease; the growth rate of hours worked