Cards in this guide (28)
What is a Treasury Note
Treasury Notes (T-Note) matures in two to ten years. They have a
coupon payment every six months, and are commonly issued with
maturities dates of 2, 3, 5 or 10 years, for denominations from
$1,000 to $1,000,000
What technology do lawyers use
Computers, telephones, internet, and other office technology but
they probably also use cars, planes and household technologies
A sentence for inflammatory
The candidate made an inflammatory speech that incensed all
those who heard it.
What is the crowding-out effect
A situation when increased interest rates lead to a reduction in
private investment spending such that it dampens the initial
increase of total investment spending is called crowding out
effect
What problem does tight money policy combat
tight money policy combats inflation (when to much money is out
in circulation the Fed limits the amount of money that is in
Circulation known as the tight money policy.)
What does lender of last resort mean with respect to the federal reserve
it lends money to banks or anyother 'institution' in financial
difficulty.
Which of the following is an argument in favor of lowering the levels of personal income tax
consumers will spend more money in the market.
What are the advantages and disadvantages of protecting an infant industry
A protected infant industry lacks the incentive to become more
effient and competitive,
and once it's protected it is difficult to take the protection
away.
It's only protected because the mature industry wouldn't take it
out, the infant industry needs time to grow up and learn.
Which of the following tools is an example of monetary policy
the government restricts the amount of money that banks can
lend.
A supply-side economist would be in favor of what
In the United States what does the general level of a family's income have to do with the amount of cash the family is likely to hold
In America, it is accepted that the more money someone makes,
the more they should have in savings or invested. This may not
always be the case, but it is believed to be.
What were the benefits of investment in new technologies
These new technology investments resulted in a boost in
productivity and lower unit costs of production as the number of
employees in the industry declined from 9,759 in 1997 to 5,434 in
2000.
When the Fed buys government bonds and other securities on the open market
Which of the following situations could cause a budget deficit for the federal government
What is the abbreviation for the research arm of the federal reserve
FAC (Federal Advisory Councel)
Why did Perestoika failed to improve the Soviet economy for all of the following reasons EXCEPT what
How do you change federal funds rate
The federal funds rate is the interest rate banks charge on
loans in the federal funds market. The federal funds rate is not
set administratively by the Fed. Instead, the rate is determined by
the supply of reserves relative to the demand for them.
How much did the French government spend servicing it's debt in 1789
20 trillion american dollors in debt.
What does a fractional reserve banking system mean
ensures growth in the economy
What can be expected when members of the baby boom generation begin to retire in large numbers
What is the federal reserve best known for
For regulating the nations money supply
What is the money multiplier formula
The money multiplier formula is the amount of new money that will be created with each demand deposit, calculated as 1 ÷ RRR.
Who appoints the members of the Board of Governors of the Federal Reserve
A depreciation in the external value of the currency is likely to...
If the Fed were to impose a slight increase in the required reserves ratio there would be .
If the Fed were to impose a slight increase in the required
reserves ratio, there would be _____.
What is the role of the Federal Open Market Committee FOMC
It makes key decisions about interest rates and the growth of the United States money supply.
After the fall of the economy in 1929, what did classical economists believe to be the solution to the Great Depression
wait for the economy to achieve equilibrium
Which of the following statements best describes a stage in the crowding-out effect
The government issues treasury bonds and spends the revenue on a new highway system.