If a $1 million open market purchase by the Fed generates a new deposit at a bank that immediately causes the bank's reserves held at the Fed to increase by $1 million, then the T-account effects are that the bank's assets and liabilities ________ by
$1 million and that the Fed's assets and liabilities ________ by $1 million.
A) increase; decline B) decline; decline C) increase; increase D) decline; increase
C
Economics
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In computing GDP, it is essential to
A) avoid double counting. B) include government transfer payments. C) include government tax revenues. D) count all intermediate products directly as they are produced.
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A reduced form equation expresses an exogenous variable in terms of endogenous variables.
Answer the following statement true (T) or false (F)
Economics