State-chartered banks that are members of the _____________ System are examined by the Federal Reserve.

Jack buys a computer from Sam, knowing fully well that the technology used in it is obsolete. In this case, the trade is

a. beneficial to both parties. b. beneficial only to Sam. c. beneficial only to Jack. d. not beneficial to either of them.

Critics of active monetary and fiscal policy emphasize

a. that policy affects the economy with a lag and our ability to forecast future economic conditions is poor. b. "leaning against the wind" of economic change to stabilize the economy. c. cutting government spending, raising taxes, and reducing the money supply when aggregate demand is excessive. d. boosting government spending, lowering taxes, and increasing the money supply when aggregate demand is low.