If a bank receives $2,500 of reserves by selling a government bond to the Fed, its ability to make loans increases by $2,500

Proprietorships generally have unlimited liability, whereas partnerships and corporations have limited liability

Indicate whether the statement is true or false

An increase in the U.S. price level relative to the price level of other countries would

a. increase U.S. net exports and increase aggregate demand. b. increase U.S. net exports and increase aggregate supply. c. reduce U.S. net exports and reduce aggregate demand. d. reduce U.S. net exports and increase aggregate demand.