Monetary policy authorities can only affect the real economy, if:
a. their actions are anticipated by the public
b. their actions are fully communicated to the public
c. their actions are consistent and predictable.
d. their actions systematically fool the public
Answer: d. their actions systematically fool the public
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Use the figure below to answer the following question.
In the past few years, the demand for donuts has increased. This would be illustrated by a change from
A. point 6 to point 3. B. point 5 to point 2. C. point 4 to point 6. D. point 1 to point 2.
Which of the following is not true when the price of a good or service falls?
a. Buyers who were already buying the good or service are better off. b. Some new buyers, who are now willing to buy, enter the market. c. The total consumer surplus in the market increases. d. The total value of purchases before and after the price change is the same.
Which of the following countries is NOT a member of the Eurozone?
A) Germany B) Ireland C) Spain D) Poland
The term utility refers to the:
A. pleasure or satisfaction a consumer receives upon consuming a good. B. necessity of a good. C. price of a good. D. number of goods a consumer has.