Immediately after the Federal Reserve buys government securities,
A) bank excess reserves rise.
B) bank excess reserves fall.
C) bank capital rises.
D) bank capital falls.
A
Economics
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If penalties are imposed on both the buyers and the sellers of illegal goods or services, then an effect in the market for the illegal good or service would definitely be
A) an increase in the equilibrium price. B) a decrease in the equilibrium price. C) a decrease in the equilibrium quantity. D) an increase in the equilibrium quantity.
Economics
John derives more utility from having $1,000 than from having $100. From this, we can conclude that John
A) is risk averse. B) is risk loving. C) is risk neutral. D) has a positive marginal utility of wealth.
Economics