The collapse of the subprime mortgage market increased the spread between Baa and default-free U.S. Treasury bonds. This is due to

A) a reduction in risk.
B) a reduction in maturity.
C) a flight to quality.
D) a flight to liquidity.

C

Economics

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Which of the following is NOT included in the M1 money supply?

A) currency B) passbook savings accounts C) traveler's checks D) checkable and debitable accounts

Economics

The Paradox of Thrift highlights the idea that:

A.  Saving more is good for the economy in the short run B.  Saving more can be bad for the economy during a recession C.  In spending more, households will end up saving less D.  In spending more, workers may end up losing their jobs

Economics