Economies of scale, control over a scarce input, and patents are all examples of barriers to entry
a. True
b. False
Indicate whether the statement is true or false
True
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Which organization functions as a lender of last resort for national governments?
A. the U.S. Treasury B. the Federal Reserve Bank C. the International Monetary Fund D. the World Bank
Suppose that for several periods the aggregate demand and supply curves have been intersecting at the same point, and at full employment. Then the central bank increases money growth as a result of an announced policy change
Under the assumption of adaptive expectations the likely short-run result is __________ output and __________ price level. A) rising; a rising B) rising; an unchanged C) unchanged; a rising D) unchanged; an unchanged
The increase in the amount that the government collects in taxes when the economy expands and the decrease in the amount that the government collects in taxes when the economy goes into a recession is an example of
A) discretionary monetary policy. B) the discretionary multiplier effect. C) discretionary fiscal policy. D) automatic stabilizers.
Which of the following is an example of a natural monopoly?
a. A local electricity supplier. b. A dry cleaner in New York City. c. An aircraft manufacturer. d. A pharmaceutical company that holds a patent on a new drug.