Author Question: When does a shortage occur? What will be an ideal response?[br][br][b][color=gray]Question ... (Read 50 times)

APUS57

  • Hero Member
  • *****
  • Posts: 571
When does a shortage occur?
 
  What will be an ideal response?

Question 2

When the Fed purchases government securities ________ loans end up being made because ________.
 
  A) more; excess reserves in the banking system increase
  B) fewer; excess reserves in the banking system decrease
  C) more; excess reserves in the banking system decrease
  D) fewer; required reserves in the banking system increase but desired reserves decrease
  E) fewer; excess reserves in the banking system increase


zenzy

  • Sr. Member
  • ****
  • Posts: 336
Answer to Question 1

A shortage occurs when the price is below the equilibrium price. When the price is less than the equilibrium price, the quantity demanded is greater than the quantity supplied.

Answer to Question 2

A



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

Acute bronchitis is an inflammation of the breathing tubes (bronchi), which causes increased mucus production and other changes. It is usually caused by bacteria or viruses, can be serious in people who have pulmonary or cardiac diseases, and can lead to pneumonia.

Did you know?

Atropine, along with scopolamine and hyoscyamine, is found in the Datura stramonium plant, which gives hallucinogenic effects and is also known as locoweed.

Did you know?

The eye muscles are the most active muscles in the whole body. The external muscles that move the eyes are the strongest muscles in the human body for the job they have to do. They are 100 times more powerful than they need to be.

Did you know?

Approximately one in four people diagnosed with diabetes will develop foot problems. Of these, about one-third will require lower extremity amputation.

Did you know?

People who have myopia, or nearsightedness, are not able to see objects at a distance but only up close. It occurs when the cornea is either curved too steeply, the eye is too long, or both. This condition is progressive and worsens with time. More than 100 million people in the United States are nearsighted, but only 20% of those are born with the condition. Diet, eye exercise, drug therapy, and corrective lenses can all help manage nearsightedness.

For a complete list of videos, visit our video library