Competitive firms decide how much output to sell by producing output until the price of the good equals
a. marginal product.
b. the value of marginal product.
c. marginal cost.
d. marginal profit.
c
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Prescott's calibrated RBC model was able to match the data in terms of the ________ between many key macroeconomic variables and GNP; that is, in terms of how closely they moved with GNP over the business cycle
A) correlation B) interdependence C) gamma coefficient D) sigma ratio
The conclusion of the median voter model is that_____
a. private sector demands of the median voter influences their demand for public goods b. the median voter is omniscient c. public sector demand will be the demand of the median voter d. decision-making costs will be high if the median voter is rationally ignorant
If the national debt is strictly an internal debt, then
a. the amount of the debt places a burden on the generation that repays the debt b. the amount of taxes used to pay the interest on the debt equals the interest payments to the bond holders, and there is no national debt burden c. the amount of taxes used to pay the interest on the debt equals the interest payments to the bond holders creating a national interest-created debt burden d. the amount of the debt places a burden on the generation when the debt is incurred because it reduces the amount of consumption e. the amount of taxes used to pay the debt is paid by future generations, which shifts the burden of the debt from the present to the future generation
Refer to the figure below. If Jess chooses A, then Cory's best response is: 
A. to choose the cell in which Cory's payoff is 10. B. to choose B. C. non-existent. D. to choose A.