Which of the following would be most indicative of a shift to a more restrictive monetary policy?
a. Rapid expansion in the monetary base, higher short-term interest rates, and a decline in the growth rate of the M1 money supply.
b. Rapid expansion in the monetary base, declining short-term interest rates, and an increase in the growth rate of the M2 money supply.
c. A reduction in the monetary base, higher short-term interest rates, and a decline in the growth rate of the M2 money supply.
d. A reduction in the monetary base, lower short-term interest rates, and a decline in the growth rate of the M1 money supply.
C
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This graph demonstrates the domestic demand and supply for a good, as well as the world price for that good.
According to the graph shown, if this economy were to open to trade, domestic producers would:
A. transfer surplus in area BCD to foreign producers. B. transfer surplus in area BC to consumers. C. receive additional surplus of BCD. D. lose surplus in area BCD to foreign consumers.
Governments contribute to increased average labor productivity in each of the following ways except by:
A. allowing the free and open exchange of ideas. B. establishing well-defined property rights. C. maintaining political stability. D. imposing taxes on wages.
Give an example that shows how inefficiency relates to product differentiation for a monopolistically competitive industry.
What will be an ideal response?
Which is a determinant of the demand for housing?
a. The price of lumber b. Changes in the expected future price of housing c. The price of housing d. Wages for electricians