The ability to shift a tax burden depends on the relative elasticities of demand and supply for the taxed commodity
a. True
b. False
Indicate whether the statement is true or false
True
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If U.S. official reserves increase, the
A) current account is positive. B) balance of payments increases. C) official settlements account balance is negative. D) current account increases. E) official settlements account balance is positive.
Which of the following will NOT result from an unsterilized intervention in which the central bank sells foreign assets to purchase domestic currency?
A) Domestic interest rates will rise. B) The foreign-exchange value of the domestic currency will rise. C) The central bank will experience a decrease in international reserves. D) The domestic money supply will rise.
What is the dominant strategy for bidders in an English oral auction?
A) Keep bidding until all other bidders quit, regardless of your reservation price. B) Bid until the previous bid price equals the reservation price of the last bidder. C) Bid until the first-price and second-price bids are equal. D) Stop bidding once the price exceeds your reservation price.
Accounting profit equals total revenue minus
A. economic profits. B. economic costs. C. explicit costs. D. implicit costs.