Refer to the data. After a deposit of $10 billion of new currency into a checking account in the banking system, excess reserves will increase by:
Answer the question on the basis of the following consolidated balance sheet for the commercial banking system. Assume the required reserve ratio is 10 percent. All figures are in billions.
A. $0 billion.
B. $7 billion.
C. $9 billion.
D. $10 billion.
C. $9 billion.
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Refer to the graph below.
Which of the shifts explains what will happen to the production possibility curve if political unrest and strikes disrupt all sectors of an economy equally?
A. I B. II C. III D. IV
Refer to the above table. Suppose the marginal revenue product of the 5th worker is $800. This implies that
A. the price of the good is $5.33. B. the price of the good is $8. C. the price of the good is $70. D. we cannot tell what the price of the good is without more information.