Explain the differences between a market system, a command economy, and a mixed economy with respect to production and distribution decisions
What will be an ideal response?
In a market system, sellers primarily make production and distribution decisions, but they must satisfy the tastes of buyers. In a command economy, the government makes production and distribution decisions. In a mixed economy, buyers and sellers make some production and distribution decisions and the government makes others.
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When the United States was under the gold standard, recessions were ________ and long-term inflation was ________
A) more frequent; virtually nonexistent B) less frequent; virtually nonexistent C) more frequent; prevalent D) less frequent; prevalent
When dealing with strategic trade policy, one practical problem for government is the likelihood of retaliation by foreign governments
a. True b. False Indicate whether the statement is true or false
If the price is below $130, what will the firm do (a) in the short run? (b) in the long run?
Under the Gold Standard,
A) exchange rates could float. B) real interest rates were fixed. C) real exchange rates were fixed. D) nominal interest rates were fixed. E) none of the above