The short-run market supply curve is the ______ of the individual firms’ supply curves in the market.

One opportunity cost associated with going to college is

A) purchasing text books. B) paying tuition. C) giving up employment possibilities while in college. D) paying for room, board, and other living expenses.

Assume that households and businesses deposit $10,000 in this bank and that this currency is added to the bank’s reserves. In column (1) show the bank’s balance sheet after this occurs. Is there a change in the money supply? In column (2) show what would happen if the bank now loans all of its excess reserves to a depositor. Is there a change in the money supply?

Suppose the Second National Bank has the following simplified balance sheet. The reserve ratio is 25%.