Which of the following is not true about the Federal Reserve banks?
A. They serve as bankers' banks
B. They are privately owned but government-controlled
C. Unlike other banks, they are not motivated by profits
D. They compete with commercial banks in their basic functions
D. They compete with commercial banks in their basic functions
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Lily has $10 to spend each week on fish and chicken. Fish costs $2 a serving and chicken costs $3 a serving. The table shows Lily's marginal utilities of fish and chicken. Lily will consume ________ servings of chicken and ________ of fish each week
A) 4; 0 B) 1; 3 C) 0; 5 D) 2; 2
If the Fed acts to increase the money supply,
A) it will sell bonds, drive bond prices up, and drive interest rates down. B) it will buy bonds, drive bond prices down, and drive interest rates down. C) it will sell bonds, drive bond prices up, and drive interest rates up. D) it will buy bonds, drive bond prices up, and drive interest rates down.