The money multiplier is equal to:
a. the value of the required reserve ratio of the economy
b. one-hundredth of the required reserves of the economy.
c. the reciprocal of the required reserve ratio of the economy.
d. one-hundredth of the required reserve ratio of the economy.
c
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Who tends to lose from labor migration?
A. The firms in the country of origin B. The migrant workers C. The firms in the destination country D. The workers in the country of origin who did not migrate
A constant-cost industry is one in which
A. the long-run supply curve is upward sloping. B. the long-run supply curve is perfectly inelastic. C. the long-run supply curve is downward sloping. D. the long-run supply curve is perfectly elastic.
Refer to Figure 6-11. What is the value of the price elasticity of supply between g and h?
A) 0.5 B) 2 C) 20 percent D) 0.02
New classical economists believe that the classical model
a. with the rational expectations assumption added provides a role for activist stabilization policies. b. is a poor starting point to construct new macroeconomic models. c. with the rational expectations assumption substituted for the perfect information assumption provides a starting point for constructing useful macroeconomic models. d. is equivalent to the monetarist model. e. both c and d.