Answer the following statement(s) true (T) or false (F)
1.If the FOMC wants to make a quick, quiet, and inexpensive change to influence the money supply, it is most likely going to use open market operations.
2.By raising the reserve requirement, the Fed can reduce the money supply.
3.The primary cause of bank failures in the early 1930s was poor bank management.
4.One of the potentially negative side effects of deposit insurance is that it may encourage banks to take greater risks.
5.Government deregulation was a contributing factor to the savings and loans crisis of the 1980s.
1.TRUE
2.TRUE
3.FALSE
4.TRUE
5.TRUE
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Analysts cite figures on the number of uninsured in the U.S. as low as 10 million and as high as 60 million. Which of the following is a true statement?
a. The uninsured are all free riders. b. Most of the uninsured have health problems and are not able to get private health insurance. c. Most of the uninsured have some labor-force connection—either working or a dependent of someone who is working. d. The lack of health insurance means that the individual has virtually no access to medical care. e. Once you lose your health insurance it is extremely difficult to get reinsured.
Comment on the statement from an opportunity cost perspective: “The major cost of going to college is the $15,000 per year in tuition.” Assume that a person could have earned $30,000 a year if the person did not go to college
Please provide the best answer for the statement.