In 1963, the government first adopted an official definition of poverty: families with incomes below $3,000

According to this Application, if a bank does NOT pass the test, the Fed can

A) make the bank raise additional capital from the financial markets. B) prevent the bank from paying out dividends to its shareholders. C) force the bank to close. D) Both A and B are correct.

The difficulty of ascertaining the right second-best trade policy to follow

A) reinforces support for the third-best policy approach. B) reinforces support for increasing research capabilities of government agencies. C) reinforces support for abandoning trade policy as an option. D) reinforces support for free-trade options. E) reinforced support for the domestic market failure argument.