We have an inflationary gap when
A. equilibrium GDP is greater than full employment GDP.
B. full employment GDP is greater than equilibrium GDP.
C. equilibrium GDP is equal to full employment GDP.
D. None of the choices are correct.
A. equilibrium GDP is greater than full employment GDP.
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When firms in an industry are selling similar products, and they agree to share the market,
A) each firm earns a profit even though marginal cost is greater than marginal revenue. B) each firm secures a net revenue about as large as it would have received if it were the only seller. C) they try to keep each firm's price above its marginal cost. D) they tend to produce higher prices and larger output. E) the agreement will enforce itself because none of the firms will have an interest in triggering a competitive struggle.
A decrease in population shifts the production possibilities frontier outwards over time
Indicate whether the statement is true or false
A commitment strategy can:
A. be used to change people's payoffs to gain cooperation. B. allow players to reach a mutually beneficial equilibrium that would otherwise be difficult to maintain. C. result in a positive-positive outcome. D. All of these statements are true.
One of the potential social benefits of the Bitcoin is:
a. It can be used instead of a domestic currency in times of financial stress and exchange rate controls. b. It can free individuals from harmful monopoly currencies. c. It can be programmed to increase at a rate that guards against over-issuance. d. All of the above are true.