Excess reserves refer to the:
A. difference between a bank's vault cash and its reserves deposited at the Federal Reserve
Bank.
B. minimum amount of actual reserves a bank must keep on hand to back up its customers
deposits.
C. difference between actual reserves and loans.
D. difference between actual reserves and required reserves.
D. difference between actual reserves and required reserves.
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For the coordination failure model to work, it must be the case that the aggregate labor demand curve must be
A) upward sloping and steeper than the labor supply curve. B) upward sloping and flatter than the labor supply curve. C) downward sloping and steeper than the labor supply curve. D) downward sloping and flatter than the labor supply curve.
More buyers enter a market Demand increases....
a. Quantity supply lends to increase b. The products are able to use resourcing with higher opportunity cost c. Price of good will raise (or increase) d. All
Lee and Cody are playing a game in which Lee has the first move at A in the decision tree shown below. Once Lee has chosen either aggression or cooperation, Cody, who can see what Lee has chosen, must choose either aggression or cooperation at B or C. Both players know the payoffs at the end of each branch.
Suppose Lee and Cody enter into a binding non-aggression agreement. As part of that agreement, they negotiate a fine that Cody would have to pay to Lee if Cody chooses aggression after Lee chooses cooperation. For the fine to be effective, it would have to be:
A. equal to 40. B. equal to 25. C. less than 15. D. at least 15.
Suppose Sam's Shoe Co. makes one kind of shoe. An example of a variable cost for this company would be:
A. the lease to the factory building. B. the leather needed to make the shoes. C. the design pattern for the shoes. D. All of these are examples of variable costs.