A monopolistically competitive industry has many firms that sell differentiated products.
Answer the following statement true (T) or false (F)
True
This is how monopolistically competitive markets are defined.
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Holding all else constant, when a bank receives the funds for a deposited check
A) cash items in the process of collection fall by the amount of the check. B) bank assets increase by the amount of the check. C) bank liabilities decrease by the amount of the check. D) bank reserves increase by the amount of required reserves.
If total spending is greater than the value of output, firms will
a. cut prices. b. decrease production levels. c. tend to raise prices. d. see inventories rise.
Real business cycle theory emphasizes the effect of ________ on real Gross Domestic Product (GDP).
A. the money supply B. aggregate supply shocks C. government spending D. aggregate demand shocks
The populations of the developing nations are growing:
A. at about 5 percent per year. B. at about the same rate as those of the industrially advanced nations. C. slower than those of the industrially advanced nations. D. faster than those of the industrially advanced nations.