If there is 100 percent reserve banking, the money supply is unaffected by the proportion of the dollars that the public chooses to hold as currency versus deposits.

Refer to Figure 2-12. What is the opportunity cost of producing one gallon of honey in Bora Bora?

A) 2/3 of a gallon of milk B) 0.9 gallons of milk C) 1 1/3 gallons of milk D) 1.5 gallons of milk

The Lorenz curve is criticized for all of the following EXCEPT

A) that it excludes transfers-in-kind income. B) that it does not account for the size differences of households. C) that it does not account for age differences of households. D) that it does not account for the impact of trade on the standard of living.