If the Market for Beef Cattle Was Initially in Equilibrium

question 11

Multiple Choice

If the market for beef cattle was initially in equilibrium, an increase in the price of the feed grains used to fatten cattle would cause

• A)the demand for beef cattle to increase, driving the price of beef upward
• B)the supply of beef cattle to decline, driving the price of beef upward in the long run
• C)the supply of beef to increase, placing downward pressure on the price of beef in the long run
• D)both supply and demand to fall, leaving the price of beef virtually unchanged
• E)the supply of beef to increase, driving the price of beef down and increasing demand

Learn the importance of quiet time for individual work despite the emphasis on teamwork.

Recognize the necessity of eliminating non-value adding tasks for efficient work streamlining.

Understand the basic components and calculations involved in determining GDP.

Distinguish between real GDP and nominal GDP and understand the effects of inflation and deflation on them.

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Definitions:

Federal Home Loan Bank Board

A now-defunct U.S. government agency that oversaw the Federal Home Loan Banks, which were created to support home mortgage lending and community investment.

Required Reserve Ratio

The fraction of deposits that banks are required to hold in reserve and not lend out, as dictated by central banking authorities.

Excess Reserves

These are bank reserves held in excess of what is required by regulations, which can be lent out to generate income.

New Loans

Financial amounts borrowed by individuals, businesses, or governments, typically from banks or financial institutions, that have not previously existed in the market.