Which of the following approaches should the Fed use if it experiences large lags and mistakes in monetary policy?
A. Discretionary policy
B. An eclectic approach
C. Fixed rules
D. Fiscal policy
C. Fixed rules
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In the figure above, which movement could be the result of the development of a new, more efficient refining technology?
A) point a to point e B) point a to point b C) point a to point c D) point a to point d
In the TruLite boxing department, management finds that the production team maintains several boxes of lights in a nearby storage closet. On days when the assembly line breaks down, the boxes are added back at the end of day to meet production goals. This is an example of:
A. risk premium adjustment factors. B. beating the benchmark. C. gaming the production system. D. random elements in production.
The figure below illustrates the market for British pounds. D£ and S£ are the nonofficial demand and supply curves of the British pounds, respectively.
A downward movement along the vertical axis would correspond to a(n) ________ of the U.S. dollar.
A. arbitrage B. appreciation C. swap D. depreciation
If ________, then a profit-maximizing, monopolistically competitive firm earns positive economic profits.
A. P = ATC B. P < ATC C. P > ATC D. All of the above are possible.