Why didn't the FDIC allow Continental Illinois Bank to fail?
a. The FDIC had enough money to cover all of Continental's deposits.
b. Continental had once saved the FDIC.
c. The FDIC knew it could sell Continental to another bank at a profit.
d. The FDIC thought that allowing Continental to fail would undermine confidence in the banking system
e. The FDIC thought that it would not be very expensive to make Continental solvent again.
D
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The greater the product differentiation,
a. the more elastic a firm’s demand curve. b. the less elastic a firm’s demand curve. c. the less the price difference between competing firms. d. the closer to perfect competition.
All economies in the world have consistently run trade deficits in recent years.
Select whether the statement is true or false. A. True B. False
In 2010, the co-chairmen of President Obama's deficit reduction commission proposed curtailing or eliminating many tax deductions such as the one for mortgage interest. Economists who favor the proposal argue that it would (i) correct a misallocation of resources because too much of the economy's capital stock is tied up in residential housing and too little is invested in corporate capital. (ii)
cut both spending and taxes. (iii) encourage private philanthropy. a. (i) only b. (ii) only c. (i) and (ii) only d. (i), (ii), and (iii)
The study of inflation is part of:
a. Macroeconomics b. Microeconomics c. Urban economics d. Home economics