In the 1920s and 1930s, economists became increasingly aware that there were industries that did not fit the model of perfect competition or pure monopoly. Two separate theories of monopolistic competition resulted
Edward Chamberlin of Harvard published the Theory of Monopolistic Competition in 1933. Chamberlin defined monopolistic competition as A) a relatively large number of producers offering similar but differentiated products.
B) a relatively small number of producers offering similar but differentiated products.
C) a market situation in which a large number of firms produce identical products.
D) a market situation in which a small number of firms produce similar products.
A
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The aggregate supply curve shows the relationship between
A) the level of inputs and aggregate output. B) the inflation rate and the level of inputs. C) the wage rate and the level of employment. D) the inflation rate and the level of aggregate output supplied.
The school of thought that emphasizes the natural tendency for an economy to move toward equilibrium full employment without inflation is the
a. Keynesian school b. supply-side school c. noninterventionist school d. rational expectations school e. classical school
Since October 1, 2007, payday loans to military and families have been restricted to charging interest rates
A. less than 10 percent. B. less than 25 percent. C. less than 36 percent. D. less than 55 percent.
The demand for euros in the foreign exchange market equals 8,000 - 2,000 e and the supply of euros in the foreign exchange market equals 3,000 + 3,000 e, where e is the nominal exchange rate expressed in U.S. dollars per euro. If the euro is fixed at 0.85 U.S. dollars per euro, then the euro is ________ and Euroland has a balance-of-payments ________.
A. overvalued; deficit of 750 euros B. undervalued; surplus of 750 euros C. undervalued; deficit of 750 euros D. overvalued; surplus of 750 euros