The money supply will grow faster through deposit creation when the required reserve ratio is:
a. high and banks hold excess reserves.
b. high and banks cannot find good customers to lend to.
c. low and banks are able to lend out all of their excess reserves.
d. low and banks are unable to loan out all of their excess reserves.
e. high and banks are not able to loan out all of their excess reserves.
c
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Railroads
(a) were among the last of the pre-1890 big businesses to be regulated. (b) were only subject to regulation by governments when the federal government stepped in with the Interstate Commerce Act of 1887. (c) were objects of regulation more than a decade before the Interstate Commerce Commission Act. (d) were never subject to government regulation before World War I and the "command economy."
If a country's population growth rate exceeds the growth rate in its GDP, which of the following is true?
a. Per capita GDP is rising. b. Per capita GDP is not changing. c. Per capita GDP is falling. d. None of the above.
The following economy produces two products.ProductsProduction Possibilities?ABCDEFTanks012345Autos10009508506503500Refer to the above table. The total opportunity cost of the three units of tanks is:
A. 200 units of autos. B. 1000 units of autos. C. 650 units of autos. D. 350 units of autos.
If the marginal rate of substitution between tea and sugar is constant, then tea and sugar can be considered _____
a. perfect complements b. perfect substitutes c. merit goods d. inferior goods