If the Fed followed a rule for monetary policy, the time inconsistency problem would be eliminated
a. True
b. False
Indicate whether the statement is true or false
True
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The entry of new firms into a perfectly competitive market will cause:
A) both the equilibrium price and quantity to increase. B) both the equilibrium price and quantity to decrease. C) the equilibrium price to increase but the equilibrium quantity to decrease. D) the equilibrium price to decrease but the equilibrium quantity to increase.
Nominal GDP is another term for
A) real GDP. B) inflation-adjusted GDP. C) constant-dollar GDP. D) current-dollar GDP.
If a horizontal merger lowers the cost of production and increases the total surplus in the market, which of the following is also likely to have occurred?
A) The producer surplus decreased. B) The consumer surplus increased. C) The consumer surplus decreased. D) The producer surplus did not change.
Which of the following illustrates why there is a difference in union membership from the late 1970s to 2017?
a. Seatco used to make the seats for an auto company, but now most production takes place in Mexico. b. JeriJuice was a private company that formed in 2018 and planned to open regional distribution centers. c. Employment at Big Truck transportation grew from 150,000 employees in 1980 to 399,000 this year. d. Membership in the Dental Association grew from 100,000 in 1970 to twice that number in 2018.