If a country tries to maintain a flexible exchange rate, it must be willing to
A. print and sell its own currency to weaken it, if needed.
B. sell gold and hard currency to weaken its currency, if needed.
C. print and sell its own currency to strengthen it, if needed.
D. accept a large fluctuation in the exchange rate.
Answer: D
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Which of the following acts makes it a felony for competing businesses to fix prices?
A) the Sherman Act B) the Clayton Act C) the Federal Trade Commission Act D) the Robinson-Patman Act
If a bank has $100 million in assets and a net worth of $10 million, its debt-to-equity ratio is:
A. 10 to 1. B. 0.1 to 1. C. 9 to 1. D. 5 to 1.
The demand for the product of a monopolistically competitive firm is highly elastic when
A. there is a lot of product differentiation. B. there are fewer firms in the industry. C. there are a lot of close substitutes. D. firms collude.
General equilibrium exists when all markets in an economy are simultaneously in equilibrium.
Answer the following statement true (T) or false (F)