Suppose Acme County Bank and Trust has $1 million in total deposits and the required reserve ratio is 5%. How many dollars is Acme bank allowed to use to seek profits?
A) 0
B) $50,000
C) $500,000
D) $950,000
E) Trick question: banks aren't allowed to seek profit.
D
Economics
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There are only two goods for John to consume: food and clothing. If clothing is an inferior good for John when his income rises to $100,000, then food is
A) also an inferior good. B) a normal good. C) Either inferior or normal could be possible. D) Not enough information
Economics
For any combination or outputs, there is an efficient allocation of income
a. True b. False Indicate whether the statement is true or false
Economics