When marginal utility is negative, total utility
A) increases at a decreasing rate.
B) is zero.
C) is at its maximum.
D) decreases.
Answer: D
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Which type of main institution in the international capital market most often is involved in foreign exchange intervention?
A) central banks B) non-bank financial institutions C) insurance companies D) corporations E) commercial banks
Which of the following economic lessons should we take from developing country crises in Latin America (and elsewhere)?
A) Only that it is important to choose the right exchange rate regime. B) Only that banking is of central importance in any government. C) The order in which reform measures are implemented are irrelevant. D) It is important to choose the right exchange rate regime and banking is of central importance in any government. E) The order in which reform measures are implemented are irrelevant and banking is of central importance in any government.
Which will be TRUE for a monopolistic competitor experiencing short-run losses?
A) P > ATC B) P = ATC C) P < ATC D) P < MC
In which of the following sets of circumstances can we confidently expect inflation?
A. Aggregate supply and aggregate demand both increase. B. Aggregate supply and aggregate demand both decrease. C. Aggregate supply decreases and aggregate demand increases. D. Aggregate supply increases and aggregate demand decreases.