Author Question: Which of the following did not contribute to the U.S. banking collapse of 1929-1933? a. The Federal ... (Read 33 times)

abarnes · **on:** Jun 30, 2018

Which of the following did not contribute to the U.S. banking collapse of 1929-1933?
a. The Federal Reserve System and other government agencies did not act quickly or decisively enough.
b. Deposit insurance did not exist at that time.
c. The banking industry consisted of only a few very large banks.
d. The fact that the economy was in a continuous downward spiral during this period undermined depositors' confidence in the solvency of the banks.

Question 2

Monetarists believe that changes in monetary policy would have:
a. only short-term effect on the price level.
b. only short-term effect on real GDP.
c. only long-term effect on real GDP.
d. no effect on price level and real GDP.
e. both short-term and long term effect on real GDP.