Suppose that a bank begins with $500 million in deposits and $100 million in reserves and is just meeting its desired reserve ratio. Now suppose a decrease in the required reserve ratio lowers the desired reserve ratio to 10 percent
After the fall in the desired reserve ratio but before the bank makes any changes, the bank's excess reserves are A) 0.
B) $400 million.
C) $450 million.
D) $50 million.
D
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The relative price of a unit of cloth in the small isolated country of Moribundia is 5 units of food. When then central city, Mudhole, puts in an airstrip, the country is able to engage in trade
If the relative price of cloth in the outside world is 3 units of food, then Moribundia will export ________ and ________ factors used in the production of ________ will benefit. A) food; immobile; food B) food; mobile; food C) cloth; immobile; cloth D) cloth; mobile; cloth E) food; immobile; cloth
In the U.S., the most recognized entrepreneurs during industrialization were
(a) clearly monopolists. (b) robber barons, who solely realized the concentrated wealth accumulated nation-wide. (c) individuals whose market power clearly originated from within the government. (d) key individuals who were famous or wealthy.