A higher population growth rate can potentially lead to a higher rate of growth in per capita real GDP if
A) it leads to an increase in the amount of dead capital.
B) young workers replace older workers.
C) there is a greater labor force participation rate.
D) it leads to greater democracy in a nation.
C
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If a central bank does not want to see its currency ________ in value, it may pursue expansionary monetary policy to lower the domestic interest rate, thereby ________ its currency
A) fall; strengthening B) fall; weakening C) rise; strengthening D) rise; weakening
Which tool results in an immediate and major impact on the money supply, but is rarely used by the Fed because it affects the money supply in such a significant way?
a. open market operations b. reserve requirement alterations c. reserve interest rate changes d. discount rate changes