Joe is contemplating a job where, with probability 0.6, he will make $100,000 and with probability 0.4 he will make $30,000. What is Joe's expected income from taking the job?

A) $12,000
B) $60,000
C) $72,000
D) $90,000


C

Economics

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In 1981, the Fed

A) publicly announced an inflation reduction policy and created a recession. B) took no action so that the inflation rate skyrocketed. C) created an unexpected inflation reduction policy and created a recession. D) created an unexpected inflation reduction policy and created an expansion. E) publicly announced an inflation reduction policy and created an expansion. The figure above shows some Phillips curves for an economy.

Economics

In which market structure do firms exist in very large numbers, each firm produces an identical product, and there is freedom of entry and exit?

A) monopoly B) oligopoly C) only perfect competition D) only monopolistic competition E) both perfect competition and monopolistic competition

Economics

Two tasks are said to be ________ if performing more of one task increases the benefit or reduces the cost of performing another task.

A. substitutes B. complements C. flexible D. bundled

Economics

Which of the following Fed actions increases the excess reserves of commercial banks?

A. Selling bonds to the public B. Selling bonds to commercial banks C. Increasing the discount rate D. Lower the reserve ratio

Economics