To equalize traffic on transportation routes, a pricing arrangement called "peak, off-peak pricing" would most likely be proposed by
a. economists.
b. politicians.
c. regulators.
d. the general public.
a
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A business spends $10 million on new capital equipment, and during the same year, $7 million of its existing capital wears out. Which of the following is correct?
a. The firm's gross investment is $7 million, and its net investment is $10 million. b. The firm's gross investment is $3 million, and its net investment is $7 million. c. The firm's gross investment is $7 million, and its net investment is $3 million. d. The firm's gross investment is $10 million, and its net investment is $3 million.
Does an increase in the inflation rate increase or decrease the amount of money people choose to hold at any given price level? What would an increase in the inflation rate do to money demand? What would this change in money demand do to the price level?
The interest rate at which the Federal Reserve Banks lend to commercial banks and thrift institutions are called
A. the prime rate. B. the short-term rate. C. the discount rate. D. the Federal funds rate.
When the United States imposed restrictions on imported steel in the 1950s and 1960s, the U.S. steel industry responded by:
A. raising prices and channeling profits from their steel production into other activities. B. raising prices and investing more in steel production. C. lowering prices and channeling profits from their steel production into other activities. D. lowering prices and investing more in steel production.