What happens when the Federal Reserve purchases U.S. government bonds?
A) Interest rates rise because bonds become scarcer.
B) Commercial bank reserves increase.
C) The national debt declines in size.
D) The growth rate of the money stock falls.
E) All of the above occur.
B
Economics
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John Nash, the mathematician responsible for the Nash equilibrium, also proved that any reasonable bargaining outcome would
a. Split the gains from trade b. Allocate the gains from trade to the seller c. Allocate the gains from trade to the buyer d. All of the above
Economics
If an industry consists of only two firms with equal market shares, then the Herfindahl index is
a. 50 b. 100 c. 2,500 d. 5,000 e. 10,000
Economics