Which of the following is a reason for the Keynesian view that monetary policy plays a minor role in affecting the economy?
A. The money demand curve is vertical.
B. The investment curve is very steep.
C. The money demand curve is horizontal at any interest rate.
D. the monetary rule
Answer: B
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When you accumulate more money,
A) the interest rate you are paid on your currency increases. B) the opportunity cost of holding money decreases. C) your marginal tax rate falls. D) the marginal benefit of holding money decreases. E) you earn a lower rate of interest on your checkable deposit.
Explain how the CPI underestimates inflation with respect to college tuition
What will be an ideal response?
The authors explain that the marginal cost of production does not have to be constant in order to maximize profits under intemporal price discrimination
Which of the following is NOT an example of changing marginal costs under profit-maximizing intertemporal price discrimination? A) Marginal cost increases sharply after the initial marketing stages when the product is sold to the broader market of consumers. B) Marginal costs decline over time due to learning-by-doing. C) Marginal costs decline over time because the producer sells less expensive versions of the product in later stages of marketing (e.g., hard-cover versus paper-cover books). D) Marginal costs decline over time due to economies of scale.
The law of demand ensures that a demand curve has a positive slope
a. True b. False Indicate whether the statement is true or false