How do banks and financial intermediation support economic growth and development? (a) By helping businesses secure the funds needed for capital accumulation and technology advancements (b) By assisting customers in buying durable and nondurable goods and services (c) By financing government expenditures when tax revenue falls below planned spending (d) By granting loans to foreign-born […]
Slaves had incentives to remain docile, not resist their work demands and continue to depend on slavery as an institution according to Elkins (1959). Indicate whether the statement is true or false ANSWER TRUE
Which is considered fiat money? (a) Greenbacks (b) Gold coins (c) Silver dollars (d) Silver certificates ANSWER (a)
There is evidence to suggest that slaves were commonly sold and families were often separated. Indicate whether the statement is true or false ANSWER TRUE
According to the Quantity Theory of Money, the excessive printing of currency (the issuance of greenbacks and national bank notes) generated the post-Civil War increases in (a) productivity. (b) prices. (c) production. (d) rising real wages and incomes for all individuals. ANSWER (b)
Most surveyed economists support Fogel and Engerman’s (1974) position that plantation owners were largely rational and treated slaves in their best profit interest. Indicate whether the statement is true or false ANSWER FALSE
Under the bimetallic system, when did the U.S. experience a depletion in its reserve species? (a) When imports exceeded exports (b) When exports exceeded imports (c) When the U.S. closed its borders to all international trade (d) When the trading partners of the U.S. refused all U.S. imports ANSWER (a)
Contrary to Fogel and Engerman’s (1974) claim, most surveyed economists believed that slavery was on the verge of extinction on the eve of the Civil War. Indicate whether the statement is true or false ANSWER TRUE
By 1900, what did the National Banking System under the Bank Act of 1863 (and subsequent amendments) help national banks attain? (a) A majority of banking establishments (b) A majority of banking assets (c) A monopoly issue of paper money (d) All of the above ANSWER (c)
Under the National Banking Acts of 1863 and 1864, the U.S. monetary system (a) experienced drastic changes. (b) played a role in helping the Union finance the Civil War. (c) permitted, for the first time, the federal government to charter banks. (d) protected the rights of states to be the only entities to charter banks. […]
