In the long run:
A. firms have the ability to enter or exit the industry.
B. firms are able to alter some, but not all, of their resources.
C. firms are unable to adjust their output choices.
D. None of these are correct.
Answer: A
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In macroeconomics, equilibrium is defined as the point at which:
a. the economy attains the highest level of GDP. b. there is no unemployment in the economy. c. people's plans match the reality. d. there is high inflation and unemployment in the economy. e. there is no inflation in the economy.
If in the market for used bikes where only sellers can distinguish between good quality and bad quality used bikes, then in that market there exists:
A. perfect information. B. asymmetric information. C. public information. D. duopoly information.
Refer to the figure below.________ inflation will eventually move the economy pictured in the diagram from short-run equilibrium at point ________ to long-run equilibrium at point ________, 
A. Rising; B; C B. Falling; A; C C. Falling; A; B D. Rising; A; C
The required reserve ratio is 20 percent and banks have no excess reserves. Katie deposits $300 in her bank. What are the bank's excess reserves immediately after Katie makes her deposit?
A) $30 B) $90 C) $240 D) $60 E) $300