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Question
By taking the short position on a futures contract of $100,000 at a price of 115 you are agreeing to ________ a ________ face value security for ________.A. sell; $100,000; $115,000.
B. sell; $115,000; $100,000.
C. buy; $100,000; $115,000.
D. buy; $115,000; $100,000.
Answer
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Related questions
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The organization responsible for the conduct of monetary policy in the United States is the
A. Comptroller of the Currency.
B. U.S. Treasury.
C. Federal Reserve System.
D. Bureau of Monetary Affairs.
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A. balanced budgets.
B. rapidly growing money supplies.
C. falling money supplies.
D. constant money supplies.
Q:
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B. banks.
C. over-the-counter markets.
D. finance companies.
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Banks, savings and loan associations, mutual savings banks, and credit unions
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D. produce nothing of value and are therefore a drain on society's resources.
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Which of the followings does NOT describe the goods market in the ISLM model?
A. consumption function
B. investment function
C. government spending and tax
D. money demand function
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As bonds become a riskier asset, the demand for money ________ and, all else constant, the equilibrium interest rate ________.
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Q:
An autonomous increase in money demand, other things equal, shifts the ________ curve to the ________.
A. IS; right
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Q:
In the long-run ISLM model and with everything else held constant, as long as the level of output ________ the natural rate level, the price level will continue to ________, shifting the LM curve to the ________, until finally output is back at the natural rate level.
A. exceeds; rise; right
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Q:
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B. demand; left
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Q:
A policy in which the money supply is kept growing at a constant rate regardless of the state of the economy is
A. a Taylor rule.
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C. a policy rule advocated by monetarists.
D. advocated by activists.
Q:
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B. the Lucas critique.
C. public choice theory.
D. new Keynesian theory.
Q:
The Lucas critique indicates that
A. advocates of discretionary policies' criticisms of rational expectations models are well-founded.
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C. expectations are important in determining the outcome of a discretionary policy.
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Q:
In the Baumol-Tobin model, given that total costs for an individual equals + , where T0 = monthly income, b = brokerage costs, and C = amount raised from each bond transaction, derive the so-called square root rule.
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Q:
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D. all of the above.
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A. inflation will be lower.
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Q:
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Q:
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Q:
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Q:
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E. None of the above.
Q:
Explain and demonstrate graphically the effects of a negative supply shock in both the short-run and long-run.
Q:
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A. increase; increase
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Q:
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B. right; depreciate
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