On which type of unemployment can monetary policy have the most effect? Why?
What will be an ideal response?
Monetary policy has the most effect on cyclical unemployment by stimulating the economy when its in a recession.
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Briefly answer the following questions
(a) What is a foreign currency option? Is there any difference between a European and American option? (b) Why might you prefer an option over a futures or forward contract? (c) When can a gain be made by the holder of a call option? A put option?
National Ambient air quality standards have been established for all pollutants
Indicate whether the statement is true or false
A monopolistic competitor is surrounded by barriers to entry and need not fear the entry of new firms in the long run
a. True b. False Indicate whether the statement is true or false
Consider an industry with two firms producing similar products. Each firm's total cost (in dollars) is given below. Acme Manufacturing: TC = 100 + 3Q. Generic Industries: TC = 500 + 3Q. Suppose that Acme and Generic face the same demand curve. If each firm produces its profit-maximizing level of output and earns a positive economic profit, then which of the following statements is true?
A. Generic will produce more output than Acme. B. Acme and Generic will produce the same quantity, but Acme will have higher profits. C. Acme and Generic will produce the same quantity and will have the same profits. D. Acme will produce more output than Generic.