The Fed's response to the financial crisis of 2007 and 2008 was to
A. raise the reserve requirement.
B. raise the federal funds rate.
C. encourage discount window borrowing.
D. reduce taxes on financial institutions.
Answer: C
You might also like to view...
Jamal earns $160,000 per year and Josephina earns $80,000 per year. If Jamal pays $16,000 in income taxes and Josephina pays $5,000 in income taxes, the income tax system would be
A) regressive. B) progressive. C) proportional. D) marginal.
Suppose a firm produces the level of output at which the marginal cost of the last unit produced equals the price of the good. Which of the following statements is always true?
A. The firm should produce more if its economic profit is positive. B. The firm should shutdown if its total revenue is less than its variable cost. C. The firm will earn a positive economic profit. D. The firm is maximizing its profit.