Suppose the Fed purchases $5,000 in U.S. government securities from the Last National Bank and the Last National Bank's account at the Federal Reserve district bank increases by $5,000 . Which of the following is a result of this transaction?
a. The Last National Bank's balance sheet shows a change in the composition of its assets.
b. Both the Last National Bank's assets and its liabilities
rise by $5,000.
c. Both the Fed's assets and its liabilities fall by $5,000.
d. Only the Fed's liabilities change, while its assets remain unchanged.
e. This transaction decreases the money supply.
b
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a. pro basketball teams are the suppliers and pro basketball players are the demanders b. pro basketball players are the suppliers and basketball fans are the demanders c. pro basketball players are the suppliers and pro basketball teams are the demanders d. pro basketball teams are the suppliers and basketball fans are the demanders e. basketball fans are the suppliers and pro basketball teams are the demanders
If total utility is falling, marginal utility is:
a. positive. b. negative c. positive, but declining. d. either positive or negative. e. zero.