Refer to the given figure.
If the Federal Reserve wants to lower the interest rate to 3 percent, it must ________ the money supply to ________.
A. increase; 900
B. increase; 300
C. decrease; 300
D. increase; 700
Answer: D
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The index that the U.S. government currently uses to determine whether a merger should be allowed is the
a. Herfindahl index b. Schumpeter index c. Dow Jones average index d. consumer price index e. four-firm concentration ratio
The principle of comparative advantage says that
a. every individual should specialize in producing that good for which the absolute cost is the smallest b. the output of society as a whole will be the greatest if every individual specializes in producing that commodity for which his opportunity cost is the smallest c. monopoly power is gained by specializing in a large market and reducing costs d. monopoly power is gained by specializing in a small market and producing a differentiated product e. your financial investments should be "compared" in a common fashion to determine your maximum advantage
Assume Qs represents the quantity supplied at a given price and Qd represents the quantity demanded at the same given price. Which of the following market conditions produce a downward movement of the price?
A. Qs = 1,000, Qd = 750. B. Qs = 750, Qd = 750. C. Qs = 750, Qd = 1,000. D. Qs = 1,000, Qd = 1,000.
How much is the firm's output at the shutdown point?
