Indirectly, the government has improved the quality of information available to consumers through
a. the SEC.
b. its support for the Internet.
c. the Federal Reserve System.
d. requiring content labels on food products.
Ans: b. its support for the Internet.
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Purchasing power parity means equal rates of return
Indicate whether the statement is true or false
If a country adopts another country's currency, it is called
A) dollarization. B) a crawling peg. C) a dirty float. D) monetary order.
If bargaining is costless, the assignment of property rights for an externality:
a. has no impact on the possibility of an efficient outcome and no distributional impact. b. has no impact on the possibility of an efficient outcome but does have a distributional impact. c. does have an impact on the possibility of an efficient outcome but has no distributional impact. d. does have an impact on the possibility of an efficient outcome and does have a distributional impact.
In the short run, a surplus federal budget _____
a. reduces national saving b. boosts domestic saving c. stimulates aggregate demand d. promotes economic growth in the long run e. increases the federal debt