If the Fed wishes to increase the money supply it can:
Decrease the discount rate.
The policy lever most commonly used by the Fed is:
Buying and selling bonds.
If the Fed sells more bonds to the public, then the money supply will:
Decrease and the aggregate demand curve will shift to the left.
If a country has a trade deficit, it:
Imports more than it exports.
The amount by which the value of imports exceeds the value of exports in a given time period is a:
Specialization and trade:
Increase the standard of living.
Consumption possibilities refers to the:
Alternative combinations of goods and services that a country can consume.
Comparative advantage refers to a country's:
Ability to produce a specific good at a lower opportunity cost than another country.
If a country can produce rice with a lower opportunity cost than its trading partners, then it must have:
A comparative advantage in the production of rice.
Terms of trade refer to:
The rate at which goods are exchanged for one another.
Which of the following is the result of a tariff?
Greater domestic production.
A tariff on imported goods will cause:
A decrease in imports and an increase in domestic sales.
Please allow access to your computer’s microphone to use Voice Recording.
We can’t access your microphone!
Click the icon above to update your browser permissions above and try again
Reload the page to try again!
Press Cmd-0 to reset your zoom
Press Ctrl-0 to reset your zoom
It looks like your browser might be zoomed in or out. Your browser needs to be zoomed to a normal size to record audio.
Your microphone is muted
For help fixing this issue, see this FAQ.