Bank B takes 15,000 mortgage loans, bundles them together, and then sells slices of the bundle. This is descriptive of
A) creating a mortgage-backed security.
B) creating a mortgage-backed liability.
C) buying a collateralized debt obligation.
D) selling a simple loan.
E) none of the above
A
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International trade equalizes the opportunity cost of producing any good around the world
a. True b. False
Increasing the transfers from workers to the unemployed counts as:
A) fiscal policy. B) monetary policy. C) neither fiscal nor monetary policy. D) both fiscal and monetary policy.
Which of the following statements is true? Ceteris paribus (everything else held equal),
a) r (down) --> Y (down) --> I (up) --> AE (down) b) r (down) --> Y (up) --> I (up) --> AE (up) c) r (down) --> AE (up) --> Y (up) --> I (up) d) r (down) --> I (up) --> AE (up) --> Y (up)
A firm's long-run average cost curve is
A) the locus of points representing the minimum unit cost of producing any given rate of output when all inputs may be adjusted. B) the locus of points made up of the minimum point on each short-run average total cost curve when only one input may be adjusted. C) the envelope of the firm's variable cost curves. D) identical to the lowest short-run average cost curve the firm has.