If the money supply increases, the LM schedule will experience
A) rightward movement along the curve.
B) leftward movement along the curve.
C) a shift to the left.
D) a shift to the right.
D
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Government shares in the gains to risk-bearing activities but does not _____
a. share in the losses when depreciation is straight-line b. share in the losses when the investor has no other income c. share in the losses when depreciation is accelerated d. share in the losses when capital losses are allowed
Which of the following statements about the perfect competitor is INCORRECT?
A) The perfectly competitive firm is always a price taker. B) The perfect competitor sells a homogeneous commodity. C) If an individual firm raises price, it will lose business. D) The products made by a perfectly competitive firm have no close substitutes.
Refer to Table 1-2. Using marginal analysis, how many hours should Julius extend his shop's hours of operations?
A) 2 hours B) 3 hours C) 4 hours D) 5 hours E) 6 hours
Firms in a perfectly competitive market:
A. sell a differentiated product. B. sell homogeneous products. C. usually have large advertising budgets. D. try to attract customers away from their competitors.