The Money Market Security That Sells with the Lowest Denomination

question 77

Multiple Choice

The money market security that sells with the lowest denomination is a:

• A) negotiable CD and the amount is $100,000.
• B) municipal bond and the amount is $1,000.
• C) repurchase agreement and the amount is $5,000.
• D) T-bill and the amount is $10,000.

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Definitions:

Automatic Stabilizers

Economic policies and programs that automatically adjust to counteract economic fluctuations without the need for explicit government intervention.

Automatic Stabilizer

Economic policies and programs, such as unemployment insurance and progressive taxation, that automatically adjust to counteract economic fluctuations without the need for explicit government intervention.

Unemployment Benefits

Payments made by the government to unemployed individuals, intended to provide a source of income while they seek new employment.

Stabilization Policy

A government strategy aimed at managing economic cycles by adjusting fiscal policy or monetary policy to stabilize the economy.