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

Author Question: The income and substitution effects move in ________ for lenders and in ________ for borrowers. ... (Read 51 times)

luminitza

  • Hero Member
  • *****
  • Posts: 555
on: Jun 30, 2018
The income and substitution effects move in ________ for lenders and in ________ for borrowers.
 
  A) the same direction; the same direction
  B) the same direction; opposite directions
  C) opposite directions; the same direction
  D) opposite directions; opposite directions

Question 2

If the Fed purchases 1 million worth of securities and the required reserve ratio is 8, by how much will deposits increase (assuming no change in excess reserves or the public's currency holdings)?
 
  A) rise by 1 million
  B) decline by 1 million
  C) rise by 8 million
  D) rise by 12.5 million


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

shoemake

  • Sr. Member
  • ****
  • Posts: 343
Reply #1 on: Jun 30, 2018
Answer to Question 1

C

Answer to Question 2

D


luminitza

  • Hero Member
  • *****
  • Posts: 555
Reply #2 on: Jun 30, 2018
Correct answers!


shoemake

  • Sr. Member
  • ****
  • Posts: 343
Reply #3 on: Jun 30, 2018
Great! Please up vote :D


« previous next »
 

Did you know?

The types of cancer that alpha interferons are used to treat include hairy cell leukemia, melanoma, follicular non-Hodgkin's lymphoma, and AIDS-related Kaposi's sarcoma.

Did you know?

The modern decimal position system was the invention of the Hindus (around 800 AD), involving the placing of numerals to indicate their value (units, tens, hundreds, and so on).

Did you know?

Studies show that systolic blood pressure can be significantly lowered by taking statins. In fact, the higher the patient's baseline blood pressure, the greater the effect of statins on his or her blood pressure.

Did you know?

In inpatient settings, adverse drug events account for an estimated one in three of all hospital adverse events. They affect approximately 2 million hospital stays every year, and prolong hospital stays by between one and five days.

Did you know?

The effects of organophosphate poisoning are referred to by using the abbreviations “SLUD” or “SLUDGE,” It stands for: salivation, lacrimation, urination, defecation, GI upset, and emesis.

Laboratory mice demonstrate that genetic differences can have profound effects on the propensity to Laboratory mice demonstrate that genetic differences can have profound effects on the propensity to
Race-Ethnicity and Income Extremes Race-Ethnicity and Income Extremes
Summary of Parkinson’s disease effects. Summary of Parkinson’s disease effects.
Effects of Cloud Cover and Wind Effects of Cloud Cover and Wind
Tricyclic antidepressants produce their effects by inhibiting the reuptake of neurotransmitters ... Tricyclic antidepressants produce their effects by inhibiting the reuptake of neurotransmitters ...
Variable and absorption costing, explaining operating-income differences. Variable and absorption costing, explaining operating-income differences.
Video: Autonomic Nervous System Animation

For a complete list of videos, visit our video library