If the required reserve ratio is 10 percent, currency in circulation is $1,200 billion, checkable deposits are $1,600 billion, and excess reserves total $2,500 billion, then the excess reserves-checkable deposit ratio is
A) 1.56.
B) 0.48.
C) 0.72.
D) 0.56.
A
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In the figure above, the poorest 20 percent of households receive ________ of total income
A) 20 percent B) 10 percent C) 5 percent D) 15 percent
Suppose a farmer in a perfectly competitive agricultural industry rents land that is uniquely productive in the production of a certain crop. In the long run
A) the owner of the land receives economic rent while the farmer earns zero economic profit. B) the owner of the land earns zero economic profit while the farmer receives economic rent. C) both the farmer and the owner of the land receive economic rent. D) neither the farmer nor the owner of the land receive economic rent.
As people's income rises, they wish to
A. hold less money for transactions. B. spend less. C. hold more money for transactions. D. invest only in stocks.
A change in the dollar price of yen from $1 = 100 yen to $1 = 50 yen will:
A. make U.S. goods more expensive to the Japanese. B. make Japanese goods less expensive to Americans. C. increase U.S. exports and depress Japanese exports. D. increase Japanese exports and depress U.S. exports.