Firms that participate in regular open market transactions with ________ are called primary dealers

Assume a demand deposit multiplier of 2 and a government expenditure of $10 million. If the Treasury borrows that much from the banking system, bank reserves will

A) rise by $2 million. B) rise by $10 million. C) rise by $20 million. D) remain unchanged.

Which of these signifies the role of money in any economy? a. It acts as a tool for poverty alleviation in an economy

b. It serves as a medium of exchange in an economy. c. It indicates the economic wellbeing of a nation. d. It helps to differentiate between the nominal and real income of a nation. e. It is a clear indicator of the growth in national income.