The Fed's countercyclical policy tools to eliminate a recession include lowering:
a. the required reserve ratio, cutting the discount rate, and selling government bonds on the open market.
b. the required reserve ratio, raising the discount rate, and selling government bonds on the open market.
c. the required reserve ratio, raising the discount rate, and buying government bonds on the open market.
d. the discount rate, cutting the discount rate, and raising the margin requirement.
e. the reserve requirement, lowering the discount rate, and buying government bonds on the open market.
e
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A production point beyond the production possibilities frontier represents what?
What will be an ideal response?
Comparative advantage in production of the good measured on the horizontal axis is identified with a straight-line production possibilities frontier that has a slope that is
A. positive. B. larger in magnitude (or absolute value) and positive. C. larger in magnitude (or absolute value). D. smaller in magnitude (or absolute value).