Answer:
False. Markets can sometimes fail to reach efficiencies when there are externalities, public goods, monopoly, or serious information asymmetries
Explanation:
Invisible hand (effective allocation of resources in a laissez faire economy) sometimes works because when market function effectively and send correct price as signal of values (to society) to producers.
However, when goods can't be traded on markets (public goods) or its values are not correctly reflected on markets (externalities, information asymmetries) or competition is not ensured (monopoly), markets cannot ensure effective allocation of resources.
Answer:
<u>medically speaking, Yes!</u>
Explanation:
Since the scenario only <em>involves the individual running into the car, not the car hitting the individual</em>; meaning that he'll have less severe injuries.
To be able to recover from the harm done, the individual may need first aid treated.
Solution:
The reserve ratio is 10%.
Money multiplier = 
= 
= 10.
So, the money multiplier increases by 10.
Money supply = amount x money multiplier = 1,000 x 10 = 10000
Therefore, because any certain items are equivalent, the rise in the currency supply is 10000 dollars.
When the FED sells 1,000 million worth of debt, this would further increase the monetary market, as the investments are fresh funds and the income from the bank is now used in the money supply.
