Refer to the graph. A movement of the Security Market Line from SML 2 to SML 1 , and of the highlighted asset from A 2 to A 1 , would be caused, respectively, by:
A. expansionary monetary policy and arbitrage.
B. arbitrage and expansionary monetary policy.
C. restrictive monetary policy and arbitrage.
D. arbitrage and restrictive monetary policy.
A. expansionary monetary policy and arbitrage.
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The welfare impact of a preferential trade agreement depends on the difference between the amount of new trade that takes place because of the agreement and the change in international trade patterns that arises because of it
Indicate whether the statement is true or false
Which statement is true about the Malthusian theory?
A. It predicts that famine can easily be averted. B. It is an application of the law of diminishing returns. C. It is unduly optimistic. D. It has proven true in most countries.
Widespread use of credit cards
a. will increase the M1 money supply figures. b. will increase the M2 money supply figures but not those for M1. c. tends to reduce the average quantity of money that people will choose to hold. d. tends to increase the average quantity of money that people will choose to hold.
In the figure at? right, the area of rectangle ABHG represents the? monopolist's
A. maximized total revenue.
B. average total profits
C. total costs
D. maximized economic profits