An increase in inflationary expectations __________ interest rate
A) raises the natural
B) raises the nominal
C) lowers the natural
D) lowers the nominal
B
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If a monopolist lowers its price and its demand is inelastic, then its
A) total revenue increases. B) total revenue decreases. C) total revenue does not change. D) total revenue is negative.
The oligopoly dilemma is whether to ________
A. act together to restrict output and raise the price B. raise the price to the monopoly profit-maximizing price C. cheat on others in the cartel to take advantage of profit opportunities D. lower the price to the perfectly competitive price
If wages are relatively high, the individual labor supply curve may
A. Become horizontal. B. Bend backward. C. Become vertical. D. Bend outward.
If the government should decide to legalize marijuana, all other things remaining the same, we should expect to see
A. a decrease in the price of marijuana. B. an increase in the price of marijuana. C. an increase in the use of imported versus domestic marijuana. D. a decrease in the demand for marijuana.