When the Fed lowers the discount rate, it makes it:
a. cheaper for banks to borrow from each other.
b. cheaper for banks to obtain additional reserves by borrowing from the Fed.
c. more difficult for banks to accept deposits.
d. more difficult for banks to extend loans.
b
Economics
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A market tends to be monopolistic if
a. The good has too many substitutes b. The good has very few substitutes c. The good has too many complements d. The good has very few complements
Economics
Governments create monopolies through patents and copyrights in order to do which of the following?
a. Limit the number of firms in the industry b. Control what is produced and consumed c. Encourage innovation of new products and technology d. Encourage a firm to increase in size
Economics