About what percentage of the goods and services purchased by U.S. consumers, businesses, and governments in 2012 were produced by foreigners?

A company that makes baseball caps is underutilizing its resources. What does this mean?

a) The company is running more efficiently than its competitors b) The company is paying its employees less than it should be c) The company is making caps when it could be making t-shirts instead d) The company is producing fewer caps than it could be

If the Central Bank of Macroland puts an additional 1,000 dollars of currency into the economy, the public deposits all currency into the banking system, and banks have a desired reserve/deposit ratio of 0.20, then the banks will eventually make new loans totaling ________ and the money supply will increase by ________.

A. $1,000; $5,000 B. $1,000; $1,000 C. $4,000; $4,000 D. $4,000; $5,000