Assume hamburgers and french fries are complements. A decrease in the price of french fries will cause a movement from

If the quantity of credit supplied in a market exceeds the quantity of credit demanded in the market:

A) the unemployment rate tends to rise. B) the real rate of interest tends to rise. C) the rate of inflation tends to fall. D) the real rate of interest tends to fall.

Refer to the scenario above. If they are the only bidders in the auction and each bidder uses his optimal strategy, the maximum price the winner is likely to pay is ________

A) $210 B) $350 C) $500 D) $625

A problem with the use of aggregate demand management to stabilize the business cycle is that

A) monetary policy isn't available to use when interest rates are already rising because of higher inflation. B) fiscal policy takes a long time to have any impact on the economy. C) monetary policy is difficult to use, because the decision-making process is long and complicated. D) the precise amount that output will change in response to monetary or fiscal policy isn't known.

Economies of scale exist over all ranges of output for which short-run average total cost exceeds long-run average cost

a. True b. False Indicate whether the statement is true or false