For an individual consumer, a corner solution may be optimal such that MRS and MRT are not equal,
A) but this is not possible in an Edgeworth Box due to the transitivity of preferences.
B) but this is not possible in an Edgeworth Box because price ratios must be positive.
C) and this may also occur in an Edgeworth Box.
D) and this may only occur in an Edgeworth Box under the perfect complements case.
C
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If total Fed liabilities __________, then reserves have to __________, everything else being equal
A) fall; rise B) rise; rise C) fall; fall D) None of the above.
The Medicaid program provides health insurance for the
A. elderly. B. poor. C. veterans of wars. D. disabled.
The North American Free Trade Agreement affects trade between:
a. the United States, Cuba, and Brazil. b. the United States, Canada, and Mexico. c. the United States, Puerto Rico, and Cuba. d. Brazil, Bolivia, Peru, and Columbia. e. China and the United States.
If the United States experiences an economic boom, compared to other countries, how will this affect the value of the U.S. dollar?
a. It will fall because other nations would be forced to raise their interest rates. b. It will fall because the United States will import more goods and services, leading to an increased supply of dollars. c. It will rise because U.S. GDP would be rising faster than other countries. d. It will rise because the Fed will have to lower U.S. interest rates.