A bank that improves its service may be able to __________ the rate on its loans and so __________ its net interest income
A) lower; lower
B) lower; raise
C) raise; lower
D) raise; raise
D
Economics
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Inflation targeting requires that the central bank
A) publicize its targeted inflation rate. B) avoid changing the amount of the monetary base. C) use a short-term interest rate as its policy instrument. D) set a fixed price real assets. E) adopt a k-percent rule for the inflation rate. The figure above shows the market for reserves.
Economics
A temporary decrease in government purchases in the classical model would
A) shift the production function to the left. B) shift the marginal product of labor curve to the right. C) shift the labor demand curve to the left. D) shift the labor supply curve to the left.
Economics