According to Keynesian economics, fiscal policy should be coordinated to create a surplus during economic expansions

If the FDIC eliminated its insurance program for deposits, then

A) banks would probably hold fewer reserves. B) moral hazard would be increased. C) individual depositors would have more incentive to ascertain the soundness and solvency of the bank. D) the banking system would probably fail.

Assume the demand for sugar decreases and the supply of sugar increases. Which of the following outcomes is certain to occur?

A. The equilibrium price of sugar will rise. B. The equilibrium quantity of sugar will rise. C. The equilibrium quantity of sugar will fall. D. The equilibrium price of sugar will fall.