In the US Banking System of the 1830s and 1840s

question 8

Multiple Choice

In the U.S. banking system of the 1830s and 1840s,

• A)the federal government issued paper money and controlled interest rates.
• B)paper money was eliminated and specie was the only currency in circulation.
• C)only gold and silver circulated as money.
• D)Democrats in Congress passed laws increasing the amount of paper money and expanding credit for speculators.
• E)state-chartered and state-owned banks controlled the amount of money in circulation

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Definitions:

Marginal Cost

The added expense incurred by creating one more unit of a product or service.

Average Total Cost

The total cost of production (fixed and variable costs combined) divided by the quantity of output produced.

Minimum

The lowest permissible limit or the least possible amount or degree of something.

Marginal Cost

The funds required to produce an extra item of a product or service.