The value of a future amount expressed in today's dollars is
A. the inflation rate.
B. the discount rate.
C. present value.
D. the interest rate.
Answer: C
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Kyle and Stan are playing Odds or Evens, where Kyle is designated as the "odd" player and Stan is designated as the "even" player. They decide to play the game 10 times If Kyle changes from a pure strategy of "shoot 2" and decides to "shoot 1" in two of the games, Stan would be best off if he
A) stuck with a pure strategy of "shoot 2." B) switched to a pure strategy of "shoot 1." C) stuck with a mixed strategy of "shoot 1" 50% of the time and "shoot 2" 50% of the time. D) switched to a mixed strategy of "shoot 1" more than 50% of the time and "shoot 2" less than 50% of the time.
The incidence of a tax refers to
A. who actually collects the tax. B. how frequently the tax is collected. C. who bears the economic burden of the tax. D. how the tax affects prices or wages.
In the diagram below, the economic rent is represented by 
A. area B. B. area A. C. areas B and C. D. areas A and B.
Which of the following is not a function performed by the Federal Reserve?
a) To clear checks. b) To maintain the money supply. c) To establish more effective supervision of the banking system in the United States. d) To keep interest rates low.