Which of the following is NOT a problem in following an activist policy?
A) ineffectiveness in fiscal policy
B) lags in the effects of policies
C) multiplier uncertainty
D) forecasting errors
A
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Which of the following statements is true of the process of colonization?
A) Institutions in North America were set up by Europeans. B) Europeans set up similar institutions around the world. C) Residents in all colonies had similar property rights. D) It was characterized by the absence of slavery.
If the demand curve is the same as the marginal benefit curve and the supply curve is the same as the marginal cost curve, then the quantity at which they cross is
i. the equilibrium quantity. ii. the allocatively efficient quantity. iii. the quantity with no deadweight loss. A) i, ii, and iii. B) only i. C) only ii. D) only i and ii. E) only i and iii.
Assume that a consumer's indifference curve is a downward-sloping straight line. As the consumer moves from left to right along the horizontal axis, the consumer's marginal rate of substitution
a. increases. b. decreases. c. remains constant. d. increases, then decreases.
Suppose that 1000 identical sellers each set their profit-maximizing output level at 18 units when price equals $10. Then what is market quantity supplied at a price of $10?
A. 100. B. 1,000. C. 10,000. D. 18,000.