The major criticism of real business cycle models is
A) positive technology shocks actually push real GDP above the economy's potential GDP.
B) this model relies too heavily on monetary explanations for fluctuations in real GDP.
C) negative technology shocks actually push real GDP below the economy's potential GDP
D) negative technology shocks are uncommon and can't explain all business cycle fluctuations.
D
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What is the initial impact on reserves of a $2,000 deposit if the reserve ratio is 10%?
a. $200 in excess reserves and $1,800 in required reserves b. $1,800 in excess reserves and $200 in required reserves c. $2,00 in excess reserves and zero required reserves d. zero excess reserves and $2,000 in required reserves
Mr. Anderson received a producer surplus of $1,000 when he sold his watch. If the market price of the watch was $3,000 . he was willing to sell the watch for _____
a. $4,000 b. $2,000 c. $1,000 d. $3,000