If the Fed sells government securities, in the short run the nominal interest rate ________ and the real interest rate ________

A) rises; does not change
B) rises; rises
C) does not change; rises
D) falls; falls
E) rises; falls


B

Economics

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When people determine the quantity of education they will undertake, they ________ the external benefits. As a result, if education were left to an unregulated market, people would undertake too ________ education

A) overvalue; much B) ignore; much C) ignore; little D) overvalue; little

Economics

An individual seller in perfect competition will not sell at a price lower than the market price because

A) the seller can sell any quantity she wants at the prevailing market price. B) demand for the product will exceed supply. C) the seller would start a price war. D) demand is perfectly inelastic.

Economics

Exhibit 12-4 Marginal tax rate lines In Exhibit 12-4, line C represents a(n):

A. regressive tax. B. progressive tax. C. proportional tax. D. ability-to-pay tax.

Economics

When two country's laws and regulations are similar, economist's arguments for free trade are:

A. stronger than when the laws are different. B. identical than when the laws are different. C. weaker than when the laws are different. D. the opposite than when the laws are different.

Economics