Which of the following is an entity of the Federal Reserve System? A) the U.S. Treasury Secretary B) the FOMC C) the Comptroller of the Currency D) the FDIC ANSWER B
Date: September 10th, 2020
With a 10% reserve requirement ratio, a $100 deposit into New Bank means that the maximum amount New Bank could lend is A) $90. B) $100. C) $10. D) $110. ANSWER A
Date: September 10th, 2020
Which of the following is true of the typical relationship between marginal product (MP) and average product (AP)? A) If MP is greater than AP, then AP is falling. B) The AP curve intersects the MP curve at minimum MP. C) The MP curve intersects the AP curve at maximum AP. D) If MP is […]
Date: September 10th, 2020
In the model of the perfectly competitive firm, the firm’s fixed costs are equal to its implicit costs of production. Indicate whether the statement is true or false ANSWER FALSE
Date: September 10th, 2020
If the level of output produced by the firms in a perfectly competitive market has no effect on the prices of the inputs used by the firms, the market supply curve will be flatter than the supply curve for an individual firm in the market. Indicate whether the statement is true or false ANSWER […]
Date: September 10th, 2020
Which of the following is NOT an entity of the Federal Reserve System? A) Federal Reserve Banks B) the Comptroller of the Currency C) the Board of Governors D) the Federal Open Market Committee ANSWER B
Date: September 10th, 2020
The most liquid form of money is M3. Indicate whether the statement is true or false ANSWER FALSE
Date: September 10th, 2020
Refer to Scenario 1. The production function illustrated in the table: A) incurs diminishing marginal returns beyond the first unit of labor. B) incurs diminishing marginal returns beyond the second unit of labor. C) incurs diminishing marginal returns beyond the third unit of labor. D) does not incur diminishing marginal returns because marginal product is […]
Date: September 10th, 2020
When you deposit $50 in your account at First National Bank and a $100 check you have written on this account is cashed at Chemical Bank, then A) the assets of First National rise by $50. B) the assets of Chemical Bank rise by $50. C) the reserves at First National fall by $50. D) […]
Date: September 10th, 2020
GDP can increase from one year to the next by: A) increases in prices while quantities of goods and services are constant. B) increases in the quantities of goods and services produced while prices remain constant. C) both prices and quantities of goods and services increase. D) all of the above. ANSWER D
Date: September 10th, 2020
