The purchase of VCU2 by Tomas Tiergarten, a private resident, causes the nation's:

a. Monetary base to remain the same.
b. M2 money supply to rise.
c. M2 money multiplier to rise.
d. Monetary base to fall.

.A

Economics

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The situation in which short-term interest rates are pushed to zero, leaving the central bank unable to lower them further is known as

A) an interest rate panic. B) the Taylor rule. C) a zero-sum game. D) a liquidity trap.

Economics

A country must have absolute advantage in a good in order to have comparative advantage in that good

Indicate whether the statement is true or false

Economics