Which of the following policies can be adopted by the Fed in order to stimulate an economy in the short run?
a. Increase the market interest rate
b. Purchase U.S. government securities
c. Increase the discount rate
d. Increase the price of consumer goods
e. Increase the required reserve ratio
b
Economics
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Suppose you drink more tea because the price of coffee has increased. Which of the following best explains your action?
a. the law of supply b. tea and coffee are complements c. the substitution effect d. the income effect e. your nominal income has increased
Economics
Which of the following countries has the most equal income distribution?
a. Sweden b. Japan c. United States d. Netherlands
Economics