Permanent declines in inflation such as those seen in Chile and Sweden must have been a result of:
A. less independence for their central banks.
B. a change to targeting interest rates instead of inflation rates.
C. a decrease in the central bank's inflation target.
D. an increase in the central bank's inflation target.
Answer: C
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Which of the following is an example of an intermediate good or service?
A) gasoline purchased by Sam for her commute to work B) flour purchased by Jake to bake a cake for his spouse C) training seminars for employees of an accounting firm D) golf balls sold to Tiger Woods E) None of the above are examples of intermediate goods or services.
Is the United States a net borrower or a net lender? Is it a debtor or a creditor nation?
What will be an ideal response?
For a constant-returns-to-scale production function,
a. marginal costs are constant but the average cost curve has a U-shape. b. both average and marginal costs are constant. c. marginal cost has a U-shape; average costs are constant. d. both average and marginal cost curves are U-shaped.
The only circumstance under which a factor will earn no rent is when the factor's supply curve is
a. vertical. b. upward sloping. c. perfectly horizontal. d. kinked.