One effect of a shrinking economy is
A) an increase in the discount rate.
B) a decrease in the discount rate.
C) an increase in the federal funds rate.
D) a decrease in the federal funds rate.
D
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Prejudice leads, inevitably, to economic discrimination.
Answer the following statement true (T) or false (F)
Since 2010, the federal funds rate has been well below the rate suggested by the Taylor rule. A likely explanation for the discrepancy is that ________
A) the Fed's dual mandate prevents a close reliance on the Taylor rule B) policy makers decided that instability of the coefficients prevents the Taylor rule from having any role in policy decisions C) in the past, adherence to the Taylor rule led to policy mistakes D) all of the above E) none of the above
The tools of "game theory" are most helpful to economists in markets characterized by: a. perfect competition
b. oligopoly. c. monopolistic competition. d. monopoly.
The Red Jacket Mountain View Inn in New Hampshire charges $159 per room in the winter ski season and $114 during the summer months. The number of rooms and operating costs are constant year round. These prices indicate
a. rightward shifts in the demand curve in the summer. b. a rightward shift in demand in the winter. c. leftward shifts in the supply curve in the summer. d. a leftward shift in demand in the winter.