A statement that is often used to describe demand-pull inflation is:
A. "A rising tide lifts all boats"
B. "Money is easily earned, but not easily saved"
C. "Too much money chasing too few goods"
D. "There is no such thing as a free lunch"
C. "Too much money chasing too few goods"
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Which of the following is TRUE of the portion of the net public debt held by foreign residents?
A) It will definitely be a benefit to current and future generations of U.S residents, because foreign residents have shown a willingness to lend to the U.S. government in exchange for rates of return significantly lower than they can receive elsewhere in the world. B) It will be a benefit to future generations of U.S. residents only if funds that the U.S. government obtains from borrowing are expended on projects with rates of return lower than the rates of interest that the government pays foreign residents C) It will definitely be a burden on current and future generations of U.S. residents who will have to pay interest on this portion of the debt, thereby transferring a portion of future U.S. incomes abroad. D) It will be a burden on future generations of U.S. residents only if funds that the U.S. government obtains from borrowing are expended on projects with rates of return lower than the rates of interest that the government pays foreign residents.
A market with two firms can be an oligopoly if: a. one of the firms eventually wins a patent on the product sold in the market. b. the government makes them sell their output at the equilibrium price
c. both the firms spend a significant amount of money on product development. d. one of the firms is taken over by the other.
Fiat money is generally issued by
A) private banks. B) central banks. C) brokerage firms. D) major multinational corporations.
Refer to the information provided in Figure 12.5 below to answer the question(s) that follow. 
Figure 12.5
Refer to Figure 12.5. Hula hoops are produced in a perfectly competitive market. This hula hoop firm is currently producing and selling 100 hula hoops per week. Which of the following is true?
A. Hula hoop production is at the efficient level because ATC is minimized. B. Society would be better off if fewer hula hoops were produced because if this firm reduced its production, its profits would increase. C. Fewer resources should be devoted to hula hoop production because ATC is less than price. D. Society would be better off if more hula hoops were produced because at the current level of production price is greater than marginal cost.