The ECB now frequently uses ________ to inject reserves into the banking systems of countries that use the Euro.
A. an outright sale of securities.
B. an outright purchase of securities
C. repurchase agreements
D. discount loans
Answer: C
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If a product exhibits decreasing returns to scale, then the average cost of making the product will ______ as its production increases?
a. Increase. b. Decrease. c. Remain the same. d. There is insufficient information provided to ANSWER the question.
The substitution effect of an increase in the wage rate on the quantity of leisure demanded
A. gives people less purchasing power and so they will demand less leisure. B. makes leisure more expensive which leads people to work more. C. gives people more purchasing power and causes people to demand more leisure. D. makes leisure less expensive which causes people to work less.
The principle of diminishing marginal utility states that:
A. you enjoy consuming more of a good if it is good. B. as you consume more of a good, you enjoy the additional units more than you did the initial units. C. you don't enjoy consuming more of a good. D. as you consume more of a good, you enjoy the additional units less than you did the previous units.
Why are payroll taxes regressive?
What will be an ideal response?