Which of these is most likely to result when a demand-management policy is used in an economy that is experiencing stagflation?
a. A decrease in investment spending
b. An increase in the rate of inflation
c. An increase in unemployment
d. A decrease in the rate of inflation
e. A decrease in real GDP
b
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Suppose that from a new checkable deposit, First National Bank holds two million dollars in vault cash, eight million dollars on deposit with the Federal Reserve, and nine million dollars in excess reserves
Given this information, we can say First National Bank has ________ million dollars in required reserves. A) one B) two C) eight D) ten
If the executives of the U.S. silicon-chip industry lobby Congress for protection from imports on the grounds that the military should have an unrestricted domestic supply of silicon chips, they are using the:
A) environmental standards argument. B) infant industry argument. C) cheap foreign labor argument. D) national security argument.
Each of the following is a determinant of market power but which is the critical determinant of market power?
A. The availability of substitute goods. B. The extent of barriers to entry. C. The number of producers. D. The size of each firm.
According to the National Bureau of Economic Research, the recession that began in December 2007
A) lasted 12 months. B) lasted 18 months. C) lasted 27 months. D) did not end until December 2011.