Which of the following is legal under the Taft-Hartley Act?
A. secondary boycotts
B. sympathy strikes
C. closed shops
D. collective bargaining
Answer: D
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The downward-sloping demand curve of a monopolistic competitor
A. ensures that the firm will produce at minimum average cost in the long run. B. reflects some level of control over its own price. C. indicates collusion among the members of the product group. D. becomes eventually horizontal in the long run.
Comparing fixed to flexible exchange rate, the response of an economy to a temporary fall in foreign demand for its exports is
A) output actually falls less under fixed rate than under floating rate. B) output actually falls more under fixed rate than under floating rate. C) output actually remains the same under fixed rate than under floating rate. D) the currency value grows in a fixed rate system and falls in a flexible system. E) output grows in a fixed rate system and falls in a flexible system.
Tina withdraws $20,000 from her money market account to start up her own house cleaning business. Over that time, the account would have earned 3 percent interest. In order to properly account for all costs of her business, Tina must not forget:
A. the opportunity cost of $2,600. B. the fixed cost of $20,600 and the opportunity cost of $600. C. the fixed cost of $20,600. D. the opportunity cost of $600.
When the Fed buys Treasury securities
A) the budget deficit declines. B) the money supply decreases. C) the money supply increases. D) profits are maximized.