If a monopolist produces to a point at which marginal revenue is more than marginal cost then
A. the firm should increase output.
B. the firm should reduce output.
C. the firm is maximizing profits.
D. we do not know if the firm should increase or reduce without more information.
Answer: A
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The proposition that policy actions have no real effects in the short run if the policy actions are anticipated is known as
A) the policy irrelevance proposition. B) the Keynesian proposition. C) the inflation stabilization proposition. D) the unemployment stabilization proposition.
Using the data in the table above, at the price of $80 a phone,
A) a shortage of 25,000 cellular telephones occurs. B) a surplus of 80,000 cellular telephones occurs. C) a surplus of 25,000 cellular telephones occurs. D) a shortage of 55,000 cellular telephones occurs. E) the market is in equilibrium.
Which of the following institutions is responsible for check processing?
a. U.S. Department of the Treasury b. Comptroller of the Currency c. Federal Reserve d. Federal Deposit Insurance Corporation
Which of the following statements about the European Union (EU) is true?
A. All members of the EU use a common currency (the euro). B. The EU has abolished most trade barriers among participating countries, and has common tariffs applied to non-EU goods. C. The EU has eliminated most barriers to the trade of goods and services among participating nations but largely restricts the movement of labor and capital. D. Trade within the EU is liberalized, but EU nations set most of their own policies with regard to trade with non-EU nations.