In the two-period model with asymmetric information, a bank
A) creates money.
B) keeps money safely.
C) multiplies reserves.
D) borrows and lends.
D
Economics
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Given the information in the table above
A) neither country has a comparative advantage in cloth. B) Home has a comparative advantage in widgets. C) Foreign has a comparative advantage in widgets. D) Home has a comparative advantage in both cloth and widgets. E) neither country has a comparative advantage in widgets.
Economics
A given change in disposable income would have the greatest effect on aggregate demand with which of the following marginal propensities to consume?
a. 0.4 b. 0.6 c. 0.8 d. 0.2
Economics