This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: The tendency to deviate from sound long-run plans in the short-run is known as ________. A) the ... (Read 60 times)

audie

  • Hero Member
  • *****
  • Posts: 532
on: Jun 30, 2018
The tendency to deviate from sound long-run plans in the short-run is known as ________.
 
  A) the failure of adaptive expectations
  B) the failure of rational expectations
  C) the time inconsistency problem
  D) the NIMBY, or not in my backyard problem

Question 2

Why did banks increase their holdings of excess reserves during the Financial Crisis of 2007-2009?
 
  What will be an ideal response?


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

kaykay69

  • Sr. Member
  • ****
  • Posts: 322
Reply #1 on: Jun 30, 2018
Answer to Question 1

C

Answer to Question 2

Given the historically high level of uncertainty in the financial system, many banks wanted to increase their liquidity. Also, the Fed started to pay interest on excess reserves.


audie

  • Member
  • Posts: 532
Reply 2 on: Jun 30, 2018
Gracias!

kusterl

  • Member
  • Posts: 315
Reply 3 on: Yesterday
Excellent

« previous next »
 

Did you know?

Alzheimer's disease affects only about 10% of people older than 65 years of age. Most forms of decreased mental function and dementia are caused by disuse (letting the mind get lazy).

Did you know?

Signs and symptoms of a drug overdose include losing consciousness, fever or sweating, breathing problems, abnormal pulse, and changes in skin color.

Did you know?

In Eastern Europe and Russia, interferon is administered intranasally in varied doses for the common cold and influenza. It is claimed that this treatment can lower the risk of infection by as much as 60–70%.

Did you know?

Asthma-like symptoms were first recorded about 3,500 years ago in Egypt. The first manuscript specifically written about asthma was in the year 1190, describing a condition characterized by sudden breathlessness. The treatments listed in this manuscript include chicken soup, herbs, and sexual abstinence.

Did you know?

Most fungi that pathogenically affect humans live in soil. If a person is not healthy, has an open wound, or is immunocompromised, a fungal infection can be very aggressive.

An example of genetic homology: a comparison of a short amino acid sequence within the p53 protein f An example of genetic homology: a comparison of a short amino acid sequence within the p53 protein f
Traditional animal phylogeny based on body plans. Traditional animal phylogeny based on body plans.
The rate of evolution in short­ and long­lived plants The rate of evolution in short­ and long­lived plants
Responses to Sound Waves Responses to Sound Waves
Video: Heart Chambers

For a complete list of videos, visit our video library