Author Question: If the Fed raises its target for the federal fund rate, this indicates that A) the Fed is ... (Read 45 times)

Beheh

  • Hero Member
  • *****
  • Posts: 520
If the Fed raises its target for the federal fund rate, this indicates that
 
  A) the Fed is pursuing an expansionary monetary policy.
  B) the Fed is attempting to combat deflation.
  C) the Fed is pursuing a contractionary monetary policy.
  D) The Fed is concerned that the growth in aggregate demand is too slow to keep up with potential GDP.

Question 2

According to the marginal productivity theory of income
 
  A) the income received by an individual who supplies labor services equals the incremental benefit generated to the firm by that individual's labor.
  B) the average income received by an individual who supplies resources is influenced by the resources owner's marginal productivity.
  C) the greater the quantity of resources owned by an individual, the greater his incentive to increase productivity and his income.
  D) the income received by an individual who supplies labor services equals the profit generated to the firm by that individual's labor.



canderson530

  • Sr. Member
  • ****
  • Posts: 317
Answer to Question 1

C

Answer to Question 2

A



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

Long-term mental and physical effects from substance abuse include: paranoia, psychosis, immune deficiencies, and organ damage.

Did you know?

The B-complex vitamins and vitamin C are not stored in the body and must be replaced each day.

Did you know?

Alcohol acts as a diuretic. Eight ounces of water is needed to metabolize just 1 ounce of alcohol.

Did you know?

In 1885, the Lloyd Manufacturing Company of Albany, New York, promoted and sold "Cocaine Toothache Drops" at 15 cents per bottle! In 1914, the Harrison Narcotic Act brought the sale and distribution of this drug under federal control.

Did you know?

ACTH levels are normally highest in the early morning (between 6 and 8 A.M.) and lowest in the evening (between 6 and 11 P.M.). Therefore, a doctor who suspects abnormal levels looks for low ACTH in the morning and high ACTH in the evening.

For a complete list of videos, visit our video library