Assume oligopoly firms are profit maximizers, they do not form a cartel, and they take other firms' production levels as given. Then in equilibrium the output effect
a. must dominate the price effect.
b. must be smaller than the price effect.
c. must balance with the price effect.
d. can be larger or smaller than the price effect.
c
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What will be the effects of an increase in the money supply on the interest rate?
What will be an ideal response?
A bank's commitment to provide a firm with loans up to pre-specified limit at an interest rate that is tied to a market interest rate is called
A) an adjustable gap loan. B) an adjustable portfolio loan. C) loan commitment. D) pre-credit loan line.
A weaker dollar will stimulate sales of U.S. exports
Indicate whether the statement is true or false.
Most sales taxes are __________; most excise taxes are __________.
A. progressive; progressive B. regressive; regressive C. progressive; regressive D. regressive; progressive