Reverse repurchase agreements are often used to
A) increase bank reserves permanently.
B) increase bank reserves temporarily.
C) reduce bank reserves permanently.
D) reduce bank reserves temporarily.
D
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If real GDP increased by 2% and nominal GDP increased by 2%, then output: a. increased and the price level increased
b. increased and the price level decreased. c. increased and the price level remained unchanged. d. remained unchanged and the price level increased.
If inflation is the major problem in the economy, which of the following would be an appropriate monetary policy response?
a. decreasing government spending b. decreasing the discount rate c. decreasing reserve requirements d. none of the above
A firm will never operate at a loss
Indicate whether the statement is true or false
Refer to the figure below. 
In the figure, a business cycle peak is shown by which point(s)?
A. D only B. A and C and E C. E only D. B and D