In a market where the forces of demand and supply operate without government intervention, the market price will
A. always be the equilibrium price.
B. generally stay above the equilibrium price.
C. generally stay below the equilibrium price.
D. tend toward the equilibrium price.
D. tend toward the equilibrium price.
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The Federal Reserve district banks
A) do not engage in monetary policy. B) engage in monetary policy directly through discount lending. C) engage in monetary policy directly through open market operations. D) engage in monetary policy directly through their membership on Federal Reserve committees.
Given the payoffs in the matrix shown, Firm A:
This prisoner's dilemma game shows the payoffs associated with two firms, A and B, in an oligopoly and their choices to either collude with one another or not.
A. has a dominant strategy to compete.
B. does not have a dominant strategy.
C. has a dominant strategy to collude.
D. None of these statements is true.
If it is assumed that there are absolutely no taxes in an economy, then aggregate consumption will be drawn as a function of:
a. disposable income. b. real GDP. c. government expenditure. d. private income. e. government transfers.
If marginal utility is a positive number:
a. the more you purchase, the more total utility you get b. the more you purchase, the less total utility you get c. utility is not affected by more purchases d. none of these is correct