Refer to Figure 3-2. An increase in the price of the product would be represented by a movement from

A) A to B. B) B to A. C) S1 to S2. D) S2 to S1.

A

Economics

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The discount rate is kept ________ the federal funds rate because the Fed prefers that ________

A) below; banks borrow reserves from each other B) below; banks borrow reserves from the Fed C) above; banks borrow reserves from each other D) above; banks borrow reserves from the Fed

Economics

Why is macroeconomic forecasting so difficult? Does this difficulty mean economics is a worthless field of study?

What will be an ideal response?

Economics