For any given level of output:
A) marginal cost must be greater than average cost.
B) average variable cost must be greater than average fixed cost.
C) average fixed cost must be greater than average variable cost.
D) fixed cost must be greater than variable cost.
E) None of the above is necessarily correct.
E
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All central banks are controlled by government
Indicate whether the statement is true or false
Christina Romer argued that
A) measured properly, GNP before 1929 varied substantially less over time than the official statistics showed. B) measured properly, GNP after 1929 varied substantially more over time than the official statistics showed. C) measured properly, economic expansions after 1929 were shorter than the official statistics showed. D) measured properly, economic expansions before 1929 were shorter than the official statistics showed.
An appreciation of the Japanese yen relative to the U.S. dollar will
a. increase aggregate demand in the United States. b. increase aggregate supply in the United States. c. increase aggregate demand in Japan. d. decrease aggregate supply in Japan.
When the Fed increases the reserve requirement, it:
A. expands the money supply because banks have more available to lend. B. contracts the money supply because banks have less available to lend. C. contracts the money supply because banks have more available to lend. D. expands the money supply because banks have less available to lend.