According to the interest-rate-based monetary policy transmission mechanism
A. a decrease in the required reserve ratio will lower interest rates.
B. an increase in the required reserve ratio will not affect interest rates.
C. a decrease in the required reserve ratio will not affect interest rates.
D. an increase in the required reserve ratio will lower interest rates.
Answer: A
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Successive downward movements along the demand curve for the product of a monopolist always generate successive
A) increases in the monopolist's marginal revenue. B) increases in the monopolist's average total costs. C) decreases in the additional per-unit costs incurred by the monopolist. D) decreases in the additional per-unit revenues earned by the monopolist.
Oligopolists need to consider:
A. the price effect. B. the supply effect. C. the substitution effect. D. the income effect.
In Figure 5.1, during the 1980-1990 time periods, real GDP was relatively constant but nominal GDP increased. This can be explained by
A. Lower average price levels. B. A decrease in production per capita. C. Inflation. D. Higher levels of production.
In the globalized AS/AD model, what curve indicates the amount of tradable goods that other countries will supply to a country at a given price level and exchange rate?
A. World demand curve B. Domestic supply curve C. Domestic demand curve D. World supply curve