Author Question: The above figure shows Dana's marginal benefit curve for ice cream. If the price of ice cream is 2 ... (Read 97 times)

brutforce · **on:** Jun 29, 2018

The above figure shows Dana's marginal benefit curve for ice cream. If the price of ice cream is 2 per gallon and Dana is allowed to buy only 8 gallons of ice cream, then her consumer surplus on the 8th gallon is

A) 1.
B) 2.
C) 3.
D) 8.

Question 2

The required reserve ratio

A) is the amount of money that banks require borrowers to reserve in their accounts.
B) is the fraction of a bank's total deposits that is required to be held in reserves.
C) increases when withdrawals from a bank are made.
D) is higher for banks that make riskier loans.