The national debt increased by nearly $2 trillion in the 1980s because of all of the following except

A. Defense spending.
B. Recessions.
C. Tax cuts.
D. College financing.

Answer: D

Economics

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When a commercial bank receives a deposit, it must keep part of the deposit as cash reserves to satisfy its

A) loan requirements. B) interbank loans. C) required reserves. D) securities and loans. E) excess reserves.

Economics

Based on the figure above, when the market is unregulated and is in equilibrium, the deadweight loss is

A) $86.25 million per year. B) $56.25 million per year. C) $48.75 million per year. D) $37.50 million per year. E) zero.

Economics