Fiscal policy is
A) the selling of government bonds by the Treasury.
B) the deliberate manipulation of the money supply designed to affect the interest rate.
C) the deliberate manipulation of taxation and spending designed to affect the economy.
D) the selling of foreign exchange reserves designed to change the exchange rate.
E) All of the above.
C
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If the Federal Reserve eliminated all reserve requirements the most likely result would be
A) a large number of depository institution failures because they would not have enough liquidity. B) the Federal reserve would be unable to control the money supply. C) banks would no longer be able to clear checks at the Federal Reserve because there would be no required reserves. D) the size of the money multiplier might fluctuate considerably making the Federal Reserve's job of controlling the money supply more difficult.
Which firm is not dealing with adverse selection
a. a manufacturer requires a 90 day probationary period for new employees b. a temporary clerical agency requires a typing test c. a manufacturer requires suppliers to be ISO 900 . certified d. Smokers get the same life insurance rates as non-smokers