When the required reserve ratio is 20 percent, the money multiplier is:

As a society produces more and more of one good, it must give up increasing amounts of the alternative good. This demonstrates the

a. law of demand b. convexity of the production possibilities frontier c. law of increasing opportunity cost d. principle of productive inefficiency e. effects of shifts in the level of technology

Which of the following statements is false?

A) A corporate bond typically has face value of $1,000. B) Corporate bonds typically sell for a price that is equal to the bond's face value. C) The interest that corporate bonds pay is fully taxable. D) State and local governments issue municipal bonds.