If banks switch from holding reserves to holding cash, the policy impact of a negative deposit rate would be:
A. expansionary.
B. contractionary.
C. indeterminate.
D. negligible.
Answer: B
Economics
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Economists agree that
a. neither high inflation nor moderate inflation is very costly. b. both high and moderate inflation are quite costly. c. high inflation is costly, but they disagree about the costs of moderate inflation. d. moderate inflation is as costly as high inflation.
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Which is the best example of public property in a mixed-market economy?
Mixed-market economies have more private property, while command economies have more public property. a. Cars b. Homes c. streets and roads d. restaurants and shops
Economics