The above figure shows the U.S. market for replacement cell phone batteries. With free trade, U.S. production is equal to ________ batteries per year
When a $2 tariff is in place, U.S. production is equal to ________ batteries per year.
A) 900,000; 700,000
B) 300,000; 100,000
C) 100,000; 500,000
D) 300,000; 500,000
E) 100,000; 300,000
E
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The difference in the selling and purchase prices of government securities in a typical overnight repurchase agreement is set to reflect
A) the difference in the auction price of the securities and their current market price. B) the overnight cost of funds. C) LIBOR. D) the discount on Treasury bills.
It may seem paradoxical but according to ___________ when tax rates increase—at least beyond a certain rate—tax revenues fall and when tax rates fall, tax revenues increases
a. Professor Phillips and other neo-Keynesian economists b. Professor Laffer and other supply-side economists c. Professor Ricardo and other classical economists d. Professor Barro and other rational expectations economists e. Professor Samuelson and other Keynesian economists
If the MPC changed from 0.8 to 0.6, then the spending multiplier would change from a. 5 to 2.5
b. 2.5 to 5. c. 0.8 to 0.6. d. 8 to 6.
Which of the following statements is INCORRECT?
A. A firm's total economic cost is at least as large as the firm's total accounting cost. B. A firm's total economic cost includes both explicit cost and implicit cost of the firm. C. A firm's implicit cost is the opportunity cost of non-purchased inputs. D. A firm's total accounting cost is at least as large as the firm's implicit cost.