Which of the following is a central bank asset?
A) domestic securities and bills
B) currency notes
C) bank reserve deposits
D) government deposits
A
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The above figure shows the payoff to two airlines, A and B, of serving a particular route. If the two airlines must decide simultaneously, what will happen if the government offers a $30 subsidy to airlines that serve this route?
A) Both firms will enter profitably. B) Firm A will decide not to enter since firm B will. C) Firm B is still better off not entering. D) Neither firm will have a dominant strategy.
Since 1960, the biggest gain in its share of federal outlays has been in
a. income redistribution b. defense spending c. net interest d. infrastructure e. all other outlays
Suppose the inverse market demand is given by P = 20 ? Q. If the incumbent continues to produce eight units of output, which of the following equations best summarizes the potential entrant's residual demand curve?
A. P = 8 ? Q B. P = 12 ? Q C. P = 12 ? 8Q D. P = 20 ? 12Q
Which of the following factors is not relevant in explaining the persistence of wage differentials?
A. Labor immobility. B. Compensating differences. C. Free public education. D. Noncompeting groups.