Normative statements are

a. prescriptive, whereas positive statements are descriptive.
b. descriptive, whereas positive statements are prescriptive.
c. backward-looking, whereas positive statements are forward-looking.
d. forward-looking, whereas positive statements are backward-looking.

a

Economics

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In markets with ____________________ & investment value revelation, all transactions take place at true market value.

Fill in the blank(s) with the appropriate word(s).

Economics

Assume the M2 multiplier is 3 and the reserve ratio is 10%. If the central bank buys $100 million of government securities from banks, the banking system's reserves will:

a. Rise by $10 million. b. Rise by $100 million. c. Fall by $100 million. d. Fall by $10 million. e. Not change.

Economics