Other things constant, if the interest rate rises, people prefer to hold:
a. less money because the opportunity cost of holding money has increased
b. more money because the opportunity cost of holding money has increased.
c. less money because the opportunity cost of holding money has declined.
d. more money because the opportunity cost of holding money has declined.
e. the same amount of money because the opportunity cost of holding money is zero.
a
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a. short run supply; long run supply; no time to adjust b. short run price; long run supply; time to adjust c. long run supply; short run price; no time to adjust d. short run supply; long run price; time to adjust e. long run supply; short run supply; time to adjust
In what way is monopolistic competition more like competition, and in what way is it more like monopoly?
An unexpected sharp reduction in inflation will most likely result in
a. the rapid growth of output and employment. b. a reduction in the actual rate of unemployment. c. a reduction in the natural rate of unemployment. d. a temporary increase in unemployment and a decline in real output.
In the graph below at P*, the firm is making ________ economic profits. 
A. positive B. an indeterminate level of C. zero D. negative