Monetary stimulus will fail if
A. Banks lend too much money.
B. Lower interest rates cause households to not refinance mortgages and not apply for new consumer loans.
C. Consumers spend too much money, creating a shortage of money.
D. Short-term interest rates are affected but long-term interest rates are not.
Answer: D
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When the ________ system of voting is used, each voter ranks alternatives and awards more points to higher-ranked alternatives and fewer points to lower-ranked alternatives. The alternative that receives the most total points from all voters wins
Fill in the blank(s) with correct word
Firm A and Firm B emit 300 tons of pollution each and each have marketable permits that allow each to emit 100 tons of pollution
If it costs $5,000 for Firm A to eliminate 100 tons of pollution and it costs Firm B $6,000 to eliminate 100 tons of pollution, then A) Firm B sells its permits to Firm A for a price above $6,000. B) Firm A sells its permits to Firm B for a price below $6,000. C) Firm A sells its permits to Firm B for a price above $6,000. D) Firm B sells its permits to Firm A for a price below $6,000. E) Neither Firm A nor Firm B sells permits because neither has extra permits.
Stricter environmental regulations and increased demand for energy have caused an increase in the demand for relatively clean natural gas. In the last several years, improved extraction technologies and new discoveries have increased the availability of natural gas. What has been the net effect on price and quantity for natural gas?
A. Quantity sold rose while the effect on price is ambiguous. B. Quantity sold fell and the effect on price is ambiguous. C. Quantity sold and price both rose with certainty. D. Quantity sold and price both fell with certainty.
The difference between the total amount that producers would have been willing to accept for the total quantity produced in a market and what they actually received at the market clearing price is called
A) production excess. B) excess demand. C) market surplus. D) producer surplus.