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Money deposited for a term is not left in bank vaults but is loaned out by the banks (subject to minimum reserve requirements)”. The above statement means that a dollar on deposit can flow back into the banking system one or more times and that dollar can expand the money supply. a) What is the minimum reserve requirements referred to? b) What terminology do economists use to refer to the process described? c) If required reserve ratio is raised and people decide to hold more cash instead of depositing, how is the money supply affected?
What actions did Congress and Supreme Court take to reduce monopoly power in late-19th century. How successful were these actions in regulating business activities.
Explain what would the cross-wage elasticity between teenagers and adults have a positive or negative sign.
Shadow Bank 411 buys $3 million more securities in the market and "pays" for them with its account at Bank 411. Bank 411 borrows $3 million more as a first response.
Explain why does this happen. Research the recent history of gasoline pricing in your area, and attempt to relate any fluctuations you observe to documented supply and demand factors.
As manager of City Racquet Club, you must determine the best price to charge for locker rentals.
Other counters that we are running out of cheap energy. Explain which person is correct also why.
Illustrate what is the value of goods and services purchased by the government of Numidia.
Compute and indicate in diagram the level of domestic consumption, domestic production and imports of commodity Y at free trade price.
Can you find a Nash equilibrium in pure strategies that is not efficient. Find the sub game perfect equilibrium as a function.
If personal taxes were decreased and input productivity increase simultaneously, the equilibrium: output would rise, fall, price level would necessarily fall, or price level would necessarily rise.
Supposes airline industry consisted of only two firms: American and Texas Air Corp. Let two firms have identical cost function, C(q) = 40q. Assume that demand curve for industry is given by P=100-Q and that each firm expects or to behave as a Cou..
Be sure to label your graph carefully as well as accurately. What is the slope of the budget constraint.
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