Ask Question, Ask an Expert

+61-413 786 465

info@mywordsolution.com

Ask Microeconomics Expert

Economics


Home >> Microeconomics

1. Which of the following IS a function of money?
a. medium of exchange
b. store of value
c. unit of accounting
d. all of the above

2. Which of the following is a component of M-1?
a. savings deposits
b. credit card
c. checkable deposits
d. gold

3. Which of the following is a NOT component of M-2?
a. small time deposits
b. money market mutual funds
c. stocks
d. checkable deposits

4. Which of the following is true about the Federal Reserve System (Fed)?
a. it is a system of 12 central banks
b. its Board of Governors is elected by a vote of the people
c. its main policy-making body is the FDIC
d. it accepts deposits from the public and makes loans to businesses
e. all of the above

5. An IOU of the Federal Reserve Bank of San Francisco to Bank of America is called:
a. discounts
b. federal funds
c. reserves
d. collateral

6. Which of the following is the most liquid?
a. a savings account
b. a 6 month CD
c. a home
d. water

7. The monetary base is composed of:
a. gold and silver
b. currency only
c. currency and reserves
d. currency and checkable deposits

8. If the monetary base is increased by $1,000 and the reserve requirement is 10% (1/10), by how much will the money supply be increased?
a. $100
b. $1,000
c. $5,000
d. $10,000

9. If the Federal Reserve wishes to increase the money supply, it should:
a. raise the reserve requirement
b. raise the discount rate
c. buy Treasury securities in the open market
d. all of the above

10. An increase in the money supply will cause interest rates to
a. rise
b. fall
c. remain unchanged

Microeconomics, Economics

  • Category:- Microeconomics
  • Reference No.:- M91236230
  • Price:- $30

Priced at Now at $30, Verified Solution

Have any Question?


Related Questions in Microeconomics

Question at your favorite bond store you see the following

Question: At your favorite bond store, you see the following prices: • 1-year $100 zero selling for $90.19 • 3-year 10% coupon $1000 par bond selling for $1000 • 2-year 10% coupon $1000 par bond selling for $1000 Assume ...

Question an editorial in the economist magazine discusses

Question: An editorial in the Economist magazine discusses the fact that in most countries-including the United States-it is illegal for individuals to buy or sell body parts, such as kidneys. a. Draw a demand and supply ...

Question why do the authors of why ation ail place such

Question: Why do the authors of Why ation ail place such heavy emphasis on institutions as one of the most critical elements for the generation of prosperity among developing countries? What other factors do they also de ...

Question use the internet to search for an example of an

Question: Use the Internet to search for an example of an enthymeme in the media (e.g., Internet, television, radio, newspapers, etc.). • You may find an op-ed, political piece, advertising, et cetera. • Identify the imp ...

Quesiton in the spring of 2003 two professors from a couple

Quesiton: In the spring of 2003, two professors from a couple of New York universities were allowed examine the filings of those companies that had complied with the filing requirement. They wanted to know which and how ...

Question consider the market for education1 why might

Question: Consider the market for education. (1) Why might education exhibit positive externalities? (2) Describe a government policy to internalize the positive externality of education. Show the effect of the policy in ...

Question empirical studies suggest that managers view

Question: Empirical studies suggest that managers view translation exposure as the least important of the three exposures. What could be the reason for that? The response must be typed, single spaced, must be in times ne ...

Question what is meant by absolute poverty what measures of

Question: What is meant by absolute poverty? What measures of income poverty are favored by development economists? How do income poverty measures differ from the UNDP's Multidimensional poverty index? Why should we be c ...

Questionnbsp principles of macroeconomicspart b short

Question:  Principles of Macroeconomics PART B: SHORT ANSWER QUESTIONS. 1. At a price of $5 per pound, salmon is quite attractive to buyers but not very profitable to sellers. The quantity demanded is 750 pounds, represe ...

Question social security and compound interestsinterest

Question: Social Security and Compound interests Interest rate is 4% per year. Would you accept a proposal to pay $10,000 for one year and will be paid back $15,000 in the following year? 1. Will you accept the proposal ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Why might a bank avoid the use of interest rate swaps even

Why might a bank avoid the use of interest rate swaps, even when the institution is exposed to significant interest rate

Describe the difference between zero coupon bonds and

Describe the difference between zero coupon bonds and coupon bonds. Under what conditions will a coupon bond sell at a p

Compute the present value of an annuity of 880 per year

Compute the present value of an annuity of $ 880 per year for 16 years, given a discount rate of 6 percent per annum. As

Compute the present value of an 1150 payment made in ten

Compute the present value of an $1,150 payment made in ten years when the discount rate is 12 percent. (Do not round int

Compute the present value of an annuity of 699 per year

Compute the present value of an annuity of $ 699 per year for 19 years, given a discount rate of 6 percent per annum. As

Follow Us

© Copyright 2013-14 mywordsolution.com All rights reserved