What is the dominant strategy for bidders in an English oral auction?
A) Keep bidding until all other bidders quit, regardless of your reservation price.
B) Bid until the previous bid price equals the reservation price of the last bidder.
C) Bid until the first-price and second-price bids are equal.
D) Stop bidding once the price exceeds your reservation price.
D
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When the expected dollar-euro exchange rate rises, the domestic dollar return curve shifts:
a. in. b. out. c. not at all. d. Not enough information is provided to answer the question.
Monetary policy refers to the government's attempt at smoothing business cycles through the use of changes in:
A. Tax rates B. Interest rates C. Wage rates D. Government spending
When mortgage loans are securitized, they are
A) issued to borrowers with flawed credit histories. B) issued to borrowers who fail to document their income. C) bundled together by financial institutions and sold to investors. D) guaranteed by the federal government.
All of the following are examples of negative externalities except one. Which is the exception?
A. Water pollution. B. Your roommate going on a diet. C. Second-hand smoke. D. Loud conversation in the workplace.