The outcome of first-degree price discrimination is:
A) Pareto efficient with equity.
B) Pareto efficient with inequity.
C) Pareto inefficient with inequity.
D) Pareto inefficient but is equitable.
B
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The sale of foreign assets by a central bank accompanied by an open market purchase of securities of the same size results in:
A) a reduction in the monetary base B) an increase in the monetary base C) a sterilized intervention D) an unsterilized intervention
Based on the Figure 3.5, what is the optimal choice for hours spent on this activity?
A. 0
B. 8
C. There is no optimal choice.
D. There is not enough information to determine the optimal choice.
A monopsonistic employer will pay a wage rate
A. equal to MFC. B. less than the labor's MRP. C. greater than the labor's MRP. D. equal to the labor's MRP.