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☆☆☆☆☆Cards in this guide (19)
How do banks earn a profit from lending money to their customers
by charging interest rate
When does the government assume an expansionary fiscal policy position
when it is weak
Which of these describes what maturity means with regard to securities
the set date upon which the treasury agrees it will pay back the loan plus the interest amount A+
Which of these government securities cannot be publicly traded
U.S. savings bonds
Which of these is also called deficit spending
expansionary fiscal policy position
When do Treasury bills mature
in one year or less
Which of these may result in lower investment lower prices and slower economic activity
when government borrowing increases interest rates
When consumers have more disposable income and they are willing to pay higher prices for goods this drives up the prices in the market and causes a devaluation of the money supply which refers to wh
inflation
Which of these would not be a possible result of low interest rates
people may be reluctant to borrow
What terms refers to the adjustment of an economy's money supply by a central bank in order to maintain price stability lower unemployment and ensure economic growth
Monetary policy
What defines aggregate demand
the total demand for final goods and services in the economy
What terms best describes an individual who owns a business
sole proprietor
According to the law of diminishing returns what will happen if you overuse a factor of production
It will not be as efficient as before. A+
What institution is responsible for conducting monetary policy
federal reserve system
The response of businesses and individuals to fiscal policy changes is related to which of these
the amount of funds government is spending
Which point in the business cycle has the greatest economic activity
Peak a+
What of the following study business cycles in order to help them minimize recessions and prevent booms from becoming too large
Government agencies.
Which economists published the Tableau économique
François Quesnay
Which of these does not describe a weak economy
The government will assume a contractionary fiscal policy position.
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