The break-even inflation rate is the
A) excess of the nominal interest rate over the TIPS interest rate.
B) inflation rate that makes the nominal interest rate equal the real interest rate.
C) negative of the real interest rate.
D) inflation rate that is optimal according to the Friedman rule.
A
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Which of the following does NOT help explain why oligopolies exist?
A) economies of scale B) mergers C) product homogeneity D) barriers to entry
According to the graph shown, producer surplus is area:
A. A + B + C.
B. B.
C. A.
D. A + B.
If your disposable personal income increases from $33,000 to $41,000 and your consumption increases from $8,000 to $12,000 . your marginal propensity to consume (MPC) is:
a. 0.2. b. 0.4. c. 0.5. d. 0.8. e. 1.0.
Nicky makes $25,000 a year as a sales clerk. He then decides to quit his job to enter a MBA program full-time (assume Nicky doesn't work in the summer or hold any part-time jobs). His tuition, books, living expenses, and fees total $15,000 a year. Given this information, the annual total cost of Nicky's MBA studies is:
a. $10,000. b. $30,000. c. $40,000. d. $15,000. e. $25,000.