If the Fed wants to increase the money supply through open market operations, it will

A) purchase government securities.
B) sell government securities.
C) first purchase, then sell, government securities.
D) lend more reserves to commercial banks.


A

Economics

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Suppose a perfectly competitive firm's minimum average variable cost is $3 when it produces 50. If the price is $2 and the firm's marginal cost is $2, the firm should

A) continue to produce, but produce more than 50. B) continue to produce 50. C) continue to produce, but produce less than 50. D) shut down. E) continue to operate, but to determine the amount of production needs more information than is given.

Economics

List and define the two categories of after-tax corporate profits

What will be an ideal response?

Economics

Why do we subtract import spending from total expenditures?

What will be an ideal response?

Economics

As products become more differentiated:

A. consumers are less willing to switch in response to price changes and competition becomes more intense. B. consumers are more willing to switch in response to price changes and competition becomes more intense. C. consumers are less willing to switch in response to price changes and competition becomes less intense. D. consumers are more willing to switch in response to price changes and competition becomes less intense.

Economics