When the Fed sells bonds in the open market, we can expect
A) bond prices and interest rates to fall.
B) bond prices to rise and interest rates to fall.
C) bond prices to fall and interest rates to rise.
D) bond prices and interest rates to rise.
Ans: C) bond prices to fall and interest rates to rise.
Economics
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In the principal-agent relationship between a bank manager and a bank teller, the manager is
A) an agent, as is the teller. B) an agent and the teller is a principal. C) a principal and the teller is an agent. D) a principal, as is the teller.
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"Supporters of import restrictions and protectionist policies place greater weight on producer welfare than on consumer welfare." Comment
What will be an ideal response?
Economics