Consider two countries, Muria and Zenya. In Muria total annual output is worth $800 million and people work 40 million hours. In Zenya total annual output is worth $900 million and people work 50 million hours. In which country is productivity higher?

If the required reserve ratio is a uniform 25 percent on all deposits, the money multiplier will be:

a. 4.00. b. 2.50. c. 0.40. d. 0.25.

If the government tried to implement a total ban on pollution: a. output prices would decrease

b. output prices would increase. c. production would increase. d. production would be unchanged.