Big Al’s Burger Emporium lowered the price of its burgers from $8 to $6. The firm saw sales of burger increase from 1,200 per week to 2,000 per week. This implies that the price elasticity (dropping any negative signs) is
A. 0.29
B. 0.57
C. 1.75
D. 0.50
Answer: C
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Countries like _________ have no reserve requirements at all
a. England b. Canada c. Australia d. all of the above e. none of the above.
A key point in the difference between the United States and the European Union as OCAs, is that:
A) the intra-European Union trade is significantly higher than the intrastate trade in the United States. B) the intra-European Union trade is significantly lower than the intrastate trade in the United States. C) the intra-European Union labor migration is much higher than the intrastate migration in the United States. D) in the United States, language creates a significant barrier.
Which of the following is used to measure directly the average standard of living across countries?
A. Real GDP. B. Nominal GDP. C. Purchasing power parity. D. GDP per person.
Describe, in general terms, the strategy of monetary policy, explaining how monetary-policy tools are used to achieve the goals of monetary policy. What intermediate stages are important in going from tools to goals? What are the links between the different stages? How does the Federal Reserve use this strategy today?
What will be an ideal response?