In order to be drawn correctly, the minimum of the ATC is
A. to the right and up from the minimum of the MC.
B. to the right and down of the minimum of the AVC.
C. vertically straight up from the minimum of the AVC (neither to the right nor left).
D. to the left and down of the minimum of the AVC.
Answer: A
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A. lower; potential B. higher; potential C. higher; higher D. lower; higher
If the Fed raises the U.S. interest rate, the demand for dollars ________ and the exchange rate ________
A) increases; rises B) increases; falls C) decreases; rises D) decreases; falls
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A) a decrease; $10 B) an increase; $10 C) an increase; $190 D) a decrease; $190
The United Bank of Glassen only lent money to a limited number of big business houses. After a financial crisis, the bank went out of business. Which of the following reasons could have contributed to the collapse of this bank?
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