When confronted with rational expectations regarding changes in monetary policy, the short-run Phillips curve may be vertical
Indicate whether the statement is true or false
TRUE
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Refer to the table above. If the rental price of machines is $40 per day, up to how many machines should the firm rent to maximize profits?
A) 2 B) 4 C) 6 D) 7
Refer to Figure 4-1. Arnold's marginal benefit from consuming the third burrito is
A) $1.25. B) $1.50. C) $2.50. D) $6.00.
The definition of the velocity of money is
a. the money supply multiplied by prices divided by transactions. b. the number of times a unit of currency changes hands over a perid. c. money supply times prices divided by transactions. d. the fraction of total income held as money.
At E1, what is the value of the U.S. dollar?
a. less than 1.00 euro
b. 1.00 euro
c. greater than 1.00 euro but less than 1.50 euro
d. 1.50 euro