Test Bank for Economics of Money, Banking, and Financial Markets, 13th Edition by Frederic S Mishkin

,DOWNLOAD10THE10Test10Bank10for10Economics10of10Money10Banking10and10Financia
l10Markets1013th10Edition10Mishkin


The10Economics10of10Money,10Banking10and10Financial10Markets,1013e10(
Mishkin)10Chapter101
Why10Study10Money,10Banking,10and10Financial10Markets
?

1.1 Why10Study10Financial10Markets?

1) Financial10markets10promote10economic10efficiency10by
A) channeling10funds10from10investors10to10savers.
B) creating10inflation.
C) channeling10funds10from10savers10to10investors.
D) reducing10investmen
t.10Answer:1 0 C
Question10Status:1 0 Previous10Edition10A
ACSB:1 0 Reflective10Thinking

2) Financial10markets10promote10greater10economic10efficiency10by10channeling10funds10from10
10to10
.
A) investors;10savers
B) borrowers;10savers
C) savers;10borrowers
D) savers;10lender
s10Answer:1 0 C
Question10Status:1 0 Previous10Edition10A
ACSB:1 0 Reflective10Thinking

3) Well-functioning10financial10markets10promote
A) inflation.
B) deflation.
C) unemployment.
D) growth.
Answer:1 0 1
0D
Question10Status:1 0 Previous10Edition10A
ACSB:1 0 Reflective10Thinking

4) A10key10factor10in10producing10high10economic10growth10is
A) eliminating10foreign10trade.
B) well-functioning10financial10markets.
C) high10interest10rates.
D) stock10market10volatilit
y.
Answer:1 0 1 0 B
Question10Status:1 0 Previous10Edition10A
ACSB:1 0 Reflective10Thinking


1
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,DOWNLOAD10THE10Test10Bank10for10Economics10of10Money10Banking10and10Financia
l10Markets1013th10Edition10Mishkin


5) Markets10in10which10funds10are10transferred10from10those10who10have10excess10funds10avail
able10to10those10who10have10a10shortage10of10available10funds10are10called
A) commodity10markets.
B) fund-available10markets.
C) derivative10exchange10markets.
D) financial10market
s.
Answer:1 0 1 0 D
Question10Status:1 0 Previous10Edition10A
ACSB:1 0 Application10of10Knowledge

6) markets10transfer10funds10from10people10who10have10an10excess10of10available10fund
s10to10people10who10have10a10shortage.
A) Commodity
B) Fund-available
C) Financial
D) Derivative10exchang
e10Answer:1 0 C
Question10Status:1 0 Previous10Edition10A
ACSB:1 0 Application10of10Knowledge

7) Poorly10performing10financial10markets10can10be10the10cause10of
A) wealth.
B) poverty.
C) financial10stability.
D) financial10expansio
n.
Answer:1 0 1 0 B
Question10Status:1 0 Previous10Edition10A
ACSB:1 0 Reflective10Thinking

8) The10bond10markets10are10important10because10they10are
A) easily10the10most10widely10followed10financial10markets10in10the10United10States.
B) the10markets10where10foreign10exchange10rates10are10determined.
C) the10markets10where10interest10rates10are10determined.
D) the10markets10where10all10borrowers10get10their1
0funds.10Answer:1 0 C
Question10Status:1 0 Previous10Edition10A
ACSB:1 0 Reflective10Thinking

9) The10price10paid10for10the10rental10of10borrowed10funds10(usually10expressed10as10a10perc
entage10of10the10rental10of10$10010per10year)10is10commonly10referred10to10as10the
A) inflation10rate.
B) exchange10rate.
C) interest10rate.
D) aggregate10price10lev
el.10Answer:1 0 C
2
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,10Inc.
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, Question10Status:1 0 Previous10Edition10A
ACSB:1 0 Application10of10Knowledge




3
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