As entrepreneurs find new market niches and help specific industries grow, other industries will (a) grow proportionately. (b) grow disproportionately. (c) fail. (d) grow disproportionately and fail. ANSWER (d)
Date: September 10th, 2020
The money multiplier is the ratio of a. bank reserves to bank deposits. b. the change in the money supply to the change in the monetary base. c. the money supply to the monetary base. d. bank deposits to bank reserves. e. both b and c. ANSWER E
Date: September 10th, 2020
An open market purchase immediately impacts the banking system balance sheet by a. increasing required reserves. b. increasing deposits. c. increasing the money multiplier. d. increasing excess reserves. e. none of the above. ANSWER D
Date: September 10th, 2020
The percentage of the population that lived in urban areas rose from approximately 5% in 1790 to 40% in 1860. Indicate whether the statement is true or false ANSWER FALSE
Date: September 10th, 2020
Which sector consists of services traded for food, shelter, housing or other services? (a) tertiary (b) secondary (c) primary (d) international ANSWER (a)
Date: September 10th, 2020
Railroad competition was the primary cause of canal failures. Indicate whether the statement is true or false ANSWER FALSE
Date: September 10th, 2020
Throughout U.S. history, entrepreneurial activity would occur when (a) centralized economic planning was involved (b) distributed rights to profits were clear and protected (c) government intervention was pervasive (d) all of the above ANSWER (b)
Date: September 10th, 2020
The three acts that form the basic machinery behind the U.S. anti-trust laws are the Sherman Act of 1890, the Federal Trade Commission Act of 1914, and the Robinson Patman Act of 1836. Indicate whether the statement is true or false ANSWER FALSE
Date: September 10th, 2020
Which of the following variables that affect the money stock are outside the direct control of the Federal Reserve? a. Currency/deposit ratio b. Excess reserve/deposit ratio c. Required reserve/deposit ratio d. The speed of the money creation process. e. Both a and b ANSWER E
Date: September 10th, 2020
Productivity, or output per labor hour, rises as transportation costs fall. Indicate whether the statement is true or false ANSWER TRUE
Date: September 10th, 2020
