Suppose that the Fed undertakes an open market purchase of $5 million worth of securities from a bank. If the required reserve ratio is 12%, what is the resulting change in checkable deposits (or the money supply), assuming that there are no cash leakages and that banks hold zero excess reserves?
A) $4.17 million
B) $7.95 million
C) $5.68 million
D) $41.67 million
D
Economics
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If an increase in the price of one input causes an increase in demand for labor, the two inputs are
A) complementary. B) substitutes. C) interchangeable. D) flexible.
Economics
The economy is considered to be at full employment when the rate of cyclical unemployment is zero
Indicate whether the statement is true or false
Economics