Good A has an income elasticity equal to 0.4 and a cross price elasticity with respect to Good B of 1.2 . Then:
a. Good A is an inferior good and Goods A and B are substitutes.
b. Good A is an inferior good and Goods A and B are complements.
c. Good A is a normal good and Goods A and B are substitutes

What is the difference between aggregate expenditure and consumption spending?

What will be an ideal response?

The Fed's power to set the required reserves of commercial banks:

a. provides a certain source of interest income for commercial banks. b. allows the Fed to control the lending ability of commercial banks and, thereby, control the money supply. c. prevents banks from hoarding too much vault cash. d. prevents commercial banks from earning excess profits.