The Fed uses policy targets of interest rate and/or money supply because
A. The inflation rate is controlled by Congress and the White House
B. The target for the GDP growth rate is set by Congress
C. It can affect the interest rate and the money supply directly and these in turn can affect unemployment, GDP growth, and the price level
C. It can affect the interest rate and the money supply directly and these in turn can affect unemployment, GDP growth, and the price level
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A company finds that for the next worker hired, the worker's VMP is less than the cost of the worker. In this case, to maximize its profit the company should
A) definitely hire the worker. B) perhaps hire the worker, depending on the relationship between the company's MC and MR. C) definitely not hire the worker. D) None of the above answers is correct.
Howie just bought a new digital camera to replace his old one. His old one works perfectly fine and would sell on Craigslist for $100. The fact that Howie would not pay $100 for it, yet continues to let it sit in his closet unused is explained by:
A. the implicit cost of ownership. B. the explicit cost of ownership. C. the explicit cost of sales. D. ignoring sunk costs.
India is one of the countries that did not participate in the process of globalization
a. True b. False Indicate whether the statement is true or false
In a market system, the most dangerous types of bankruptcies involve
a. industrial monopolies. b. multinational firms. c. employment agencies. d. financial institutions.