The principal-agent view of Fed motivation predicts that the Fed acts
A) to promote the interests of the general public.
B) to promote the interests of the Fed's principal—the President of the United States.
C) in order to increase its power, influence, and prestige.
D) in order to make sure its agents—commercial banks—carry out its wishes.
C
Economics
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An economy that is an active participant in international trade is
A) an egalitarian economy. B) a closed economy. C) an economy whose currency value fluctuates widely. D) an open economy.
Economics
The price elasticity of supply measures how responsive
a. equilibrium price is to equilibrium quantity. b. sellers are to a change in buyers' income. c. sellers are to a change in price. d. consumers are to the number of substitutes.
Economics