Why Does the U

question 27

Multiple Choice

Why does the U.S.Federal Reserve's announcement of a far-reaching mortgage-bond buying program raise business concerns over the new monetary policy?

• A) It affects the type of economic system that prevails in the United States.
• B) It is expected to impact the rate of inflation over the next year.
• C) Tax policies are likely to change as a result of the new program.
• D) It threatens to weaken the dollar against foreign currencies.

Understand the concept of opportunity cost in different scenarios.

Differentiate between major-specific job market outcomes during economic fluctuations.

Identify factors contributing to market efficiency.

Calculate the opportunity cost related to personal decisions and economic transactions.