Under the gold standard, when a nation had a deficit in its balance of payments
A) interest rates would rise which would reduce foreign investment.
B) interest rates would fall which would increase foreign investment.
C) gold would flow to foreign residents and the domestic money supply would decrease.
D) gold would flow into the country leading to an increase in the domestic money supply.
Answer: C
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After a firm makes both short and long run adjustments to its production plan following an increase in the output price,
A. the marginal product of capital will be higher. B. the marginal product of labor will be lower. C. the technical rate of substitution will be unchanged. D. (a) and (c) E. (b) and (c) F. (a) and (b) G. All of the above. H. We cannot tell for sure -- so none of the above.
The following estimation methods should not be used to test for randomization when Xi, is binary:
A) linear probability model (OLS) with homoskedasticity-only standard errors. B) probit. C) logit. D) linear probability model (OLS) with heteroskedasticity-robust standard errors.
A market survey conducted by an electronics manufacturer reported a year on year growth in the sale of television sets, along with an increase in the selling price. Which of the following could be a likely cause for this situation?
a. A decrease in supply b. An increase in demand c. A decrease in demand d. An exception to the law of demand e. An increase in supply
If the demand curve is more price elastic than the supply curve in a particular market, will the buyers or the sellers bear a larger burden of a per-unit tax imposed on the market?