That part of national income not spent on consumption is defined as

Which of the following statements about the rate of return is NOT correct?

A) The total rate of return may be greater or less than the current yield. B) The total rate of return may be greater or less than the rate of capital gain. C) The total rate of return may never be negative. D) The total rate of return is greater than the coupon, holding everything else constant.

Of the three primary tools the Federal Reserve uses to conduct monetary policy, the tool used most often is

A) open market operations. B) discount policy. C) setting reserve requirements. D) acting as the lender of last resort. E) check clearing.