Suppose checking deposits increase by $6,000 after all rounds of the money-creation process when the Fed buys $1,200 worth of U.S. government securities. This implies that the maximum value of the required reserve ratio is:
a. 5

In a perfectly competitive industry, influence over price is exerted by

a. individual sellers. b. individual buyers. c. the largest firms. d. the forces of supply and demand.

The annual inflation rate measures the percentage growth rate of

A. the CPI from one year to the next. B. the CPI from the base period 1982-84 to a given year. C. real GDP from the base period 1982-84 to a given year. D. real GDP from one year to the next.