If a bank lends funds in the form of cash, then:
a. M2 stays the same, but M1 rises.
b. M1 and M2 fall.
c. M1 and M2 do not change.
d. M2 rises, and M1 falls.
e. M1 and M2 rise.
.E
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List and explain factors that influence consumption expenditure
What will be an ideal response?
The figure above shows the demand curve for pizza
a. What is the marginal benefit of the 20th pizza? b. What is the maximum price the consumer is willing to pay for the 20th pizza? c. If the price of a pizza is $6, what is the consumer surplus of the 20th pizza? d. If the price of a pizza is $10, what is the consumer surplus on all the pizzas consumed? e. If the price of a pizza is $6, what is the consumer surplus on all the pizzas consumed?
Three manufacturing firms want to maintain their oligopolistic market power by tacitly colluding with each other. Which action helps them achieve this goal?
a. They create a cartel and sign a formal collusion agreement. b. They develop an implied price leadership understanding. c. They ease the barriers to entry in their industry. d. They hold formal meetings to discuss pricing strategies.
Specialization—the division of labor—enhances productivity and efficiency by:
A. allowing workers to take advantage of existing differences in their abilities and skills.
B. avoiding the time loss involved in shifting from one production task to another.
C. allowing workers to develop skills by working on one, or a limited number, of tasks.
D. all of the means identified in the other answers.