A requirement that the budget be balanced in each calendar year is a misguided overreaction to the fear that in some cases
a. budget surpluses can become too large.
b. budget deficits can become too large.
c. interest rates would rise.
d. interest rates would fall.
b. budget deficits can become too large.
Economics
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The Federal Reserve System was established in 1913 in response to the
A) First World War. B) bank panic of 1907. C) depression of 1883. D) prosperity of the 1920s.
Economics
A commercial bank's reserves are:
A. liabilities to both the commercial bank and the Federal Reserve Bank holding them. B. liabilities to the commercial bank and assets to the Federal Reserve Bank holding them. C. assets to both the commercial bank and the Federal Reserve Bank holding them. D. assets to the commercial bank and liabilities to the Federal Reserve Bank holding them.
Economics