All else remaining equal, if the amount of money market deposit accounts increase, this will increase the size of:
a) only M1.
b) only M2.
c) M1 and M2.
d) neither M1 nor M2.
Ans: b) only M2.
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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. Kyle's ideal mixture is to
A) "shoot 1" every time since he is the "odd" player. B) "shoot 2" every time since Stan is the "even" player. C) "shoot 1" 50% of the time and "shoot 2" 50% of the time. D) Kyle's ideal mixture depends on Stan's ideal mixture.
Diseconomies of scale definitely means that as the firm increases its output, its
A) long-run average total cost increases. B) long-run average total cost decreases. C) short-run average total cost increases. D) short-run average total cost decreases.
An increase in government purchases, an increase in the interest rate, and an increase in consumption all shift the aggregate expenditure line upward
a. True b. False
When all players play their best strategy given what their competitors are doing, they are following their dominant strategy.
Answer the following statement true (T) or false (F)