When the Fed buys government bonds,
a. the money supply increases and the federal funds rate increases.
b. the money supply increases and the federal funds rate decreases.
c. the money supply decreases and the federal funds rate increases.
d. the money supply decreases and the federal funds rate decreases.
b
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A current account surplus indicates that America is ________ its claims on foreign wealth, while a deficit indicates that this country is ________ its claims on foreign wealth
A) reducing; reducing B) reducing; increasing C) increasing; reducing D) increasing; increasing
An investor with a diversified portfolio is generally less concerned about:
A. the diversifiable risk of potential new investments. B. rates of return of potential new investments. C. the nondiversifiable risk of potential new investments. D. recessions.