The "time inconsistency" argument is that a downward shift of the short-run Phillips Curve, which comes about with a ________ of inflationary expectations, is more likely when monetary policy ________
A) lowering, follows a rigid rule
B) lowering, is at the discretion of policymakers
C) raising, follows a rigid rule
D) raising, is at the discretion of policymakers
A
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Inflation is defined as
a. a period of rising productivity in the economy. b. a period of rising income in the economy. c. an increase in the overall level of output in the economy. d. an increase in the overall level of prices in the economy.
________ is the notion that there is a limit to the information that an economic agent, such as a manager, can comprehend and act on
a. Core competency b. Outsourcing c. Economies of scope d. Bounded rationality
Which of the following statements is true?
A. The average farm has gone from 500 acres in the 19th century to 100 acres today. B. The Freedom to Farm Act of 1996 ended government payments to farmers. C. Despite hundreds of billions of dollars on farm price-support payments since World War II, the family farm is vanishing. D. About 20 million people live on farms today.
A single seller dominates the market for robotic mowers and charges a price above the competitive price. Some potential consumers do not buy mowers they would have bought at a lower price. What economic condition is represented by this scenario?
a. inventory b. externality c. efficiency d. monopoly