In a marketplace, the rental price of apartments is determined by:
A) negotiations between landlords and regulators. B) negotiations between renters and regulators.
C) negotiations between renters and landlords. D) negotiations between politicians and regulators.
C
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When there is a recessionary gap, inflation will ________, in response to which the Federal Reserve will ________ real interest rates, and output will ________.
A. decline; lower; decline B. increase; raise; decline C. decline; lower; expand D. decline; raise; decline
How do financial intermediaries reduce risk?
What will be an ideal response?
By definition, when the economy is in equilibrium it must be true that
A) leakages equal injections. B) saving equals investment. C) government spending equals taxes. D) exports equal imports.
When the demand and the supply for bread increases simultaneously, will we able determine their effects on the equilibrium price?
What will be an ideal response?