If the demand for money decreases, a constant interest rate policy requires the Fed to
a. consult with leaders in the financial markets to see whether it should introduce credit controls
b. watch to see whether the investment spending decreases
c. move quickly to prevent a recession
d. decrease the supply of money
e. decrease the interest rate
D
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In the above figure, if a single-price monopolist maximized its profit, the deadweight loss in the market is equal to the area
A) ace. B) acg. C) ecg. D) bch.
Implicit costs are ________ and explicit costs are ________
A) costs that involve spending money; also costs that involve spending money B) nonmonetary costs; costs that involve spending money C) costs that involve spending money; nonmonetary costs D) nonmonetary costs; also nonmonetary costs
The President receives economic policy advice from economists at each of the following except
a. the Council of Economic Advisors. b. the Department of the Treasury. c. the Congressional Budget office. d. the Department of Labor.
Which of the following is a variable cost for a taxi driver?
a. monthly car payment b. car insurance payment c. taxi licensing fee d. fuel costs