Trend-wise, the worldwide population is going as follows:
a. More rural
b. More urban
c. Larger family size
d. Rapidly decreasing in places like Sao Paolo, Brazil
B
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For a fixed target real interest rate and target inflation rate, when inflation decreases, the Fed ________ interest rates, hence ________ short-run equilibrium output.
A. increases; increasing B. decreases; decreasing C. decreases; increasing D. increases; decreasing
The idea that government budget deficits do not matter under certain circumstances is
A) called the Friedman-Lucas theory. B) called the Ricardian equivalence theorem. C) attributed to Edward Prescott and Finn Kydland. D) preposterous.
Which of these contributes to the existence of monopoly power?
a. the control of critical resources b. legal barriers c. patents d. All of the above contribute to the existence of monopoly power.
The opposite of the bandwagon effect is:
A. a network externality, positive or negative. B. a positive network externality. C. the substitution effect. D. the snob effect.