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Which of the following statements is correct?
a. In the special case of 100-percent-reserve banking, the reserve ratio is 1, the money multiplier is 2, and banks create money.
b. In the special case of 100-percent-reserve banking, the reserve ratio is 1, the money multiplier is 1, and banks do not create money.
c. When the reserve ratio is 0.5, then the money multiplier is 1 and banks do not create money.
d. When the reserve ratio is 0.125, then the money multiplier is 8, and each bank loans $8 for every $1 that it accept in deposits.
Suppose instead that the marginal mining cost increases with the amount mined. Illustrate what is now the e¤ect on gold consumption and mining of an increased use of gold as money.
On a sparsely populated island, high-speed Internet service would have a _____ marginal utility than in New York City, while in New York City quiet evenings would carry a _____ marginal utility than on a deserted island.
Discuss fully the determinants underlying price elasticity of demand. SeeClear T.V., a cable hook-up, used to sell its service for $22.00 a month and it managed to sign up 42,000 customers. Due to increased equipment costs and the stock-holders' desi..
There are three retirement plans under development. Each plan has a 6% compounded monthly and you cannot take a withdrawal until year 20. One plan requires a payment of X/year for the next 10 years. The other requires a payment of Y each year from ye..
You buy a bond for $1118 that pays $20 interest ever 6 months. It will reach maturity in 9 years at which time it will return its face value of 1000 plus the final $20 interest payment. What is the pre-tax annual rate of return on this bond? Estimate..
Inflation has been a reality for the general economy of the U.S. In many years. Given this assumption, calculate the number of years it will take for the purchasing power of today's dollars to equal one-fifth of their present value. Assume that infla..
How is GDP a measure of both output and income? How is it possible that both measures of GDP - income and expenditure approach - can end up with the same number?
Which is more economical, a plant with a payroll of $400 a week, with $100 of overhead, and with an output of 100 units per week, or a plant with a payroll of $80,000 a week, an overhead of $100,000 a week, and an output of 50,000 units per week? How..
hyundai case studycommon case focuses on the operations of hyundai the korean automobile manufacturer in china. the
What is a socially responsible effort? Social responsibility comes from the belief that people, governments, and organizations have a responsibility to the greater welfare of society
Fassbender Widgets, Inc. has opened a new widget factory next to Lake Dunn. In the production of widgets, WWI dumps 5 thousand gallons of a pollutant, red dye #308, into the lake. The pollutant reduces the fish population and results in a loss to tho..
Rivalry is especial destructive to probability if:
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