What is an example of federal investment? a. Federal reserve monetary policy, specifically selling financials to banks results in additional investment. b. Federal reserve monetary policy, specifically buying financials from banks results in additional investment. c. Physical capital, meaning stock market activity, which contributes to the functioning of the economy. d. Physical capital, for example investing in transportation, which contributes to the functioning of the economy

Essentials of Economics (MindTap Course List)
8th Edition
ISBN:9781337091992
Author:N. Gregory Mankiw
Publisher:N. Gregory Mankiw
Chapter18: Savings,investment And The Financial System
Section: Chapter Questions
Problem 9PA
icon
Related questions
Question
What is an example of federal investment?

a. Federal reserve monetary policy, specifically selling financials to banks results in additional investment.
b. Federal reserve monetary policy, specifically buying financials from banks results in additional investment.
c. Physical capital, meaning stock market activity, which contributes to the functioning of the economy.
d. Physical capital, for example investing in transportation, which contributes to the functioning of the economy.
Expert Solution
steps

Step by step

Solved in 2 steps

Blurred answer
Knowledge Booster
Bond
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.
Similar questions
Recommended textbooks for you
Essentials of Economics (MindTap Course List)
Essentials of Economics (MindTap Course List)
Economics
ISBN:
9781337091992
Author:
N. Gregory Mankiw
Publisher:
Cengage Learning
Brief Principles of Macroeconomics (MindTap Cours…
Brief Principles of Macroeconomics (MindTap Cours…
Economics
ISBN:
9781337091985
Author:
N. Gregory Mankiw
Publisher:
Cengage Learning