During the antebellum period, the federal government assumed (a) responsibility for full employment. (b) responsibility for stable prices. (c) responsibility for the overall economy through control of the money supply. (d) little responsibility for most economic matters, leaving them to private individuals in businesses and households. ANSWER (d)
Which of the following statements holds true for eminent domain? (a) The costs are diverse and the benefits concentrated to those special groups who secured it. (b) It supports rent-seeking where some individuals gain and others lose. (c) The owner of the property secured through eminent domain has no legal recourse. (d) It is well-defined […]
By 1910 the top ten industries included printing, malt liquors, tobacco cars and railroad cars. The introduction of these new top ten industries indicated (a) a shift in consumer preferences toward luxury items. (b) an increase in real incomes in the U.S., permitting people to purchase luxury items. (c) a smaller percentage of total consumption […]
If the money supply is $1 billion, the reserve requirement is 10%, and currency holding $50 million, then reserves are a. $50 million. b. $100 million. c. $20 million. d. $40 million. e. none of the above ANSWER A
The early U.S. canals and railroads were built by private enterprise without the aid of governments. Indicate whether the statement is true or false ANSWER FALSE
Between 1860 and 1914, the growth rate in industrial production (a) fell behind the growth in the overall U.S. population. (b) outpaced the growth rates in the labor force and population. (c) was less than the growth rate in agricultural production. (d) fell behind both the growth rate in agricultural production and that of the […]
During the industrialization of the U.S., wealth was (a) unequally divided among the population but accumulating. (b) a product of a federal plan for economic development and growth. (c) the sum of all revenue earned by U.S. households and businesses. (d) none of the above. ANSWER (a)
Between 1860 and 1910, the labor force in agriculture (a) dwindled to historic lows. (b) decreased at a slow steady pace. (c) increased but not at the same rate as the total labor force. (d) stayed the same. ANSWER (c)
Unlike the person or persons who formally form a sole proprietorship or partnership, a corporation has (a) a perpetual life. (b) unlimited liability for the debts accumulated by the firm. (c) the right to vote. (d) concentrated ownership. ANSWER (a)
Since reserve requirements on time and savings deposits were phased out in the early 1990s, a. only the M1 money multiplier is affected by increases in time and savings deposits. b. only the M2 money multiplier is affected by increases in time and savings deposits. c. neither the M1 nor the M2 money multipliers are […]
