An increase in the required reserve ratio will lead to a/an:
a. increase in the monetary base.
b. increase in the money multiplier.
c. increase in the money supply.
d. both b and c.
e. both a and c.
D
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Label each entry in the list as dealing with a microeconomic topic or a macroeconomic topic. Explain your answer
What will be an ideal response?
When automatic fiscal stabilizers are in place, a shock that causes a fall in the level of economic activity automatically
a. results in a decline in the federal budget deficit that lessens the fall in income. b. results in a rise in the federal deficit that lessens the fall in income. c. requires the federal government to balance the budget. d. will lead to a permanent increase in the budget deficit. e. both a and b
A consumer will consume the combination of goods at the point of tangency between the budget line and the indifference curve
a. True b. False Indicate whether the statement is true or false
The slope of a curve measures:
A. the change in the vertical variable in response to the change in the horizontal variable. B. the length of the curve. C. only the change in the horizontal variable. D. only the change in the vertical variable.