Open market operations tries to target
A) the Federal government budget deficit.
B) product prices.
C) stock prices.
D) the federal funds rate.
D
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Both buyers and sellers are price takers in a perfectly competitive market because
A) each buyer and seller is too small relative to others to independently affect the market price. B) both buyers and sellers in a perfectly competitive market are concerned for the welfare of others. C) the price is determined by government intervention and dictated to buyers and sellers. D) each buyer and seller knows it is illegal to conspire to affect price.
The environmental Kuznets curve suggests that
a. the environment deteriorates with development b. the environment deteriorates up to some level of GDP then improves c. open economies have less environmental problems d. low-income countries have more environmental problems e. none of the above
When there is an increase in the wage rate there will be
a. both a substitution effect and an income effect. b. only a substitution effect. c. only an income effect. d. either a substitution effect or an income effect.
In economics, capital refers to
a. the finances necessary for firms to produce their products. b. buildings and machines used in the production process. c. the money households use to purchase firms' output. d. stocks and bonds.