Suppose the private sector wishes to hold a constant level of real high-powered money
This means that with an ongoing inflation of p percent, each year the government treasury can obtain goods from the private sector in exchange for ________ p times the existing high-powered money, a government revenue source called ________. A) creating, seignorage
B) creating, transfer payments
C) collecting, seignorage
D) collecting, transfer payments
A
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The demand curve for an inferior good can never be downward sloping
Indicate whether the statement is true or false
The F-test is used in forecasting to
A) establish confidence intervals for testing regression coefficients. B) examine the degree of multicollinearity among independent variables. C) determine how well a regression equation can account for dependent variable values. D) determine whether an identification problem exists.
Coffee and donuts are complements in consumption. Suppose bad weather in the coffee producing regions of the world, which shifts the coffee supply curve leftward
How do the general equilibrium price and quantity outcomes compare to the partial equilibrium outcomes for this situation? A) General equilibrium price and quantity are higher B) General equilibrium price is higher and quantity is lower C) General equilibrium price is lower and quantity is higher D) General equilibrium price and quantity are lower
Suppose Ben owns a small company that makes kites. The market for kites is perfectly competitive, and kites sell for $25 each. Ben's total production costs vary depending on the number of kites he makes each day, as shown in the accompanying table.Number of kites Per DayTotal Cost Per Day ($)0100111021263148417252006235 What is Ben's economic profit at his profit-maximizing level of output?
A. ?$100 B. ?$73 C. ?$75 D. ?$72