Overseeing who operates banks and how they are operated is called
A) prudential supervision.
B) hazard insurance.
C) regulatory interference.
D) loan loss reserves.
A
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In a game with multiple Nash equilibria, all of the following can be used to determine the equilibrium of the game except which one?
A) the Focal point B) a coin flip C) the Pareto criterion D) refinements
The use of commodity money
a. has a high opportunity cost. b. does not provide an adequate unit of account. c. creates a mutual coincidence of wants problem. d. creates inflation. e. All of the above.
The principle that states the marginal product of an input decreases as the quantity of the input increases is called:
A. diminishing marginal product. B. increasing rate of return. C. production function. D. total product optimization.
The Big Mac index:
A. is measured by The Economist. B. is a simple measure that indicates differing costs of living in different countries. C. converts the price of a Big Mac worldwide to dollars, and compares it to how much they cost in the U.S. D. All of these statements are true.