Suppose you have one U.S. dollar with which you wish to purchase U.K. (one-year) bonds in period t. Which of the following expressions represents the amount of U.S. dollars you will receive in one year (i.e., period t + 1 ) from purchasing U.K. bonds in period t?
A) i
B) 1 + i
C) (1 + i)Eet+1/Et
D) (1 + i)Et/Eet+1
E) none of the above
D
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Use the following graph to answer the next question.
The graph shows the cost curves for a perfectly competitive firm. If the market price of the product is $1.25 per unit, then the firm will produce how many units to maximize profits in the short run?
A. 15 B. 20 C. 0 D. 35
Marginal cost is the opportunity cost of producing
A) every unit possible. B) zero units. C) the first unit and only the first unit. D) one more unit of a good or service. E) None of the above answers is correct.
In the graph showing the data for the short-run and long-run Phillips curve from 1979–1987, movement along the short-run Phillips curve is represented by the move from ______.
a. Point D to Point E
b. Point D to Point F
c. Point E to Point F
d. Point F to Point D
The combination of inflation and real growth shown by the AD curve give:
A. the same level of inflation. B. the same level of money supply growth. C. the same level of real GDP growth. D. the same level of nominal GDP growth.