Question #15068271

Im doing this macroeconomics test and im stuck on a couple answers. If someone could help that would be great?

1-A decrease in the required reserve ratio will: A-reduce commercial bank loans and reduce the money supply. B-increase commercial bank loans and reduce the money supply. C-increase commercial bank loans and increase the money supply. D-decrease commercial bank loans and increase the money supply. 2-Banks normally hold few excess reserves because this practice is: A-subject to an excess reserves tax. B-not profitable. C-against Fed policy. D-illegal. 3-An increase in the supply of money will: A-reduce the rate of interest and, thereby, trigger an increase in current spending by households and businesses. B-reduce aggregate demand and real output. C-increase only the general level of prices. D-lead to a higher rate of unemployment. 4-In Exhibit 17-1, when the unemployment rate goes from 9 percent to 1 percent, the: A-level of inflation is unaffected. B-inflation rate goes from 3 percent to 14 percent. C-inflation rate goes from 3 percent to 8 percent. D-inflation rate goes from 8 percent to 14 percent. 5-A country should export the goods in which it has an absolute advantage. True False Question 4 graph is below. thank you for the help

2017-05-02 05:22:41

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