Banks will keep excess reserves when:
a. they do not foresee profitable opportunities to make loans
b. business conditions generally are depressed
c. they do not foresee opportunities to make secure loans
d. All of the above are correct.
d
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When the government sets a price floor which is below the equilibrium price
A. a price ceiling will follow. B. a shortage will develop. C. a surplus will develop. D. the equilibrium price will be maintained.
Of all barriers to entry, the most important are those that are due to
A) economies of scale. B) government-imposed barriers. C) the Herfindahl-Hirschman Index. D) ownership of a key input.
Human capital is knowledge in
A) books. B) people. C) firms. D) government.
Food stamps _____
a. do little to increase demand for agricultural products b. make certain low-income individuals eat healthy foods c. increase demand for agricultural products d. help fight obesity