Every financial market has the following characteristic. A) It determines the level of interest rates. B) It allows common stock to be traded. C) It allows loans to be made. D) It channels funds from lenders-savers to borrowers-spenders. ANSWER D
Date: September 10th, 2020
The M1 measure of money includes A) small denomination time deposits. B) traveler’s checks. C) money market deposit accounts. D) money market mutual fund shares. ANSWER B
Date: September 10th, 2020
The value of currently produced final goods and services measured in current year prices is called: A) real GDP. B) nominal GDP. C) imputed values. D) inflation. ANSWER B
Date: September 10th, 2020
The perfectly competitive firm’s supply curve is that portion of the marginal cost curve that lies above the firm’s average total cost curve. Indicate whether the statement is true or false ANSWER FALSE
Date: September 10th, 2020
Refer to Scenario 1. What is the marginal product of the third hour of labor? A) 60 B) 80 C) 100 D) 240 ANSWER A
Date: September 10th, 2020
When entering the Chinese market, McDonalds had to confront: A) mainly technical issues. B) mainly political issues. C) mainly cultural issues. D) all of the above. ANSWER D
Date: September 10th, 2020
What makes the Federal Reserve so unique compared to other central banks around the world is its A) centralized structure. B) decentralized structure. C) regulatory functions. D) monetary policy functions. ANSWER B
Date: September 10th, 2020
If the expected path of 1-year interest rates over the next five years is 1 percent, 2 percent, 3 percent, 4 percent, and 5 percent, the expectations theory predicts that the bond with the highest interest rate today is the one with a maturity of A) two years. B) three years. C) four years. D) […]
Date: September 10th, 2020
When $1 million is deposited at a bank, the required reserve ratio is 20 percent, and the bank chooses not to hold any excess reserves but makes loans instead, then, in the bank’s final balance sheet A) the assets at the bank increase by $800,000. B) the liabilities of the bank increase by $1,000,000. C) […]
Date: September 10th, 2020
Refer to Scenario 1. What is the average product of the first three hours of labor? A) 60 B) 80 C) 100 D) 240 ANSWER B
Date: September 10th, 2020
