In a coin toss bet, where both heads and tails are equally likely, you win a $2 on heads but lose $1 on tails. The expected value of the bet is
a. $0.50
b. -$0.50
c. $1.00
d. $0.00
a
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One reason for the rise in the natural rate of unemployment from 1960 to 1980 is
A) changes in the demographic composition of the work force. B) the decline in inflation. C) increased competition from foreign workers. D) the depreciation of the dollar relative to foreign currencies.
The largest component of M1 is
A) currency and coins. B) traveler's checks. C) transaction deposits. D) time deposit.
When the oil-producing countries of the Middle East meet to set prices and output levels, this is an example of
a. monopoly behavior b. profit sharing c. market distribution d. explicit collusion e. tacit collusion
If the United States consumption possibilities are greater than its production possibilities, then the United States must have
A. autarky. B. an open economy. C. a closed economy. D. protectionism.