If inflationary expectations are based on all available information, they are referred to as
A) optimal.
B) rational.
C) adaptive.
D) informed.
B
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If the supply of iPods increases, then
i. the supply curve for iPods has shifted rightward. ii. the price of iPods has decreased. iii. there will be a movement upward along the iPod supply curve. A) i only B) i, ii and iii C) i and ii D) ii and iii E) i and iii
The three oil shocks the U.S. experienced in 1973-1974, 1979-1980 and 2007-2008 had a consistent result ________
A) a decline in the MPK B) a decline in the real rental price of capital C) a decline in stock prices D) all of the above E) none of the above
Which of the following statements is true of a barter system? a. In a barter system economy, no rates of exchange are defined
b. In a barter system economy, there are as many different rates of exchange as there are pairs of goods to trade. c. In a barter system economy, rates of exchange are expressed in goods per dollar. d. In a barter system economy, rates of exchange are expressed in dollars per good. e. In a barter system economy, rates of exchange are denominated in gold or silver.
Explain the economics of why the refund might be set higher than the deposit.
State officials are establishing a deposit/refund system for batteries. Marginal costs and benefits have been estimated to be: MPC = 5 + 0.5Q MPB = MSB = 20 – 0.5Q MSC = 5 + 0.7Q, whereQ is in millions, and the marginal cost and benefit values are in dollars per battery.