If real interest rates are too low
A. There will be excess demand in the loan able fund market
B. Nominal interest rates will have to rise
C. There will be excess supply in loan able funds market
D. Inflation must be increase
E. The GDP deflator has not been append yet
C. There will be excess supply in loan able funds market
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A restaurant buys fish to offer as a daily menu special. The purchase of the fish by the restaurant is
A) an intermediate good. B) part of net exports if the fish was caught beyond the U.S. border. C) an investment. D) an example of government expenditures on goods and services. E) a consumption expenditure.
Refer to the payoff matrix below. In reference to the Nash equilibrium/equilibria in this game, which of the following is true?
Camp with Us and Happy Campers compete in the market for campers. Each firm must decide each season if they are going to offer special financing or not. The above payoff matrix shows each firm's net economic profit at each pair of strategies.
A) Camp with Us Offer Financing and Happy Campers Offer Financing is a Nash equilibrium.
B) There are no Nash equilibria in this game.
C) Camp with Us Do Not Offer Financing and Happy Campers Offer Financing is a Nash equilibrium.
D) Camp with Us Do Not Offer Financing and Happy Campers Do Not Offer Financing is a Nash equilibrium.
According to the concept of framing, when a customer calls a hotel regarding a reservation the hotel reservationists generally state room rates as the _____
a. lowest they charge during peak demand periods b. average they charge during peak demand periods c. highest they charge during peak demand periods and then discount those rates d. lowest they charge during off-peak demand periods e. highest they charge during off-peak demand periods and then discount those rates
The imposition of a per unit tax on a product
A. will cause the supply curve to shift upward and to the left. B. will cause the supply curve to shift downward and to the right. C. will reduce the quantity supplied of the product. D. will encourage producers to increase the quantity supplied of the product.