In the short run, a monopolistically competitive firm chooses
A) both its price and its quantity.
B) its price but not its quantity.
C) its quantity but not its price.
D) neither its price nor its quantity.
A
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In finance, the leverage ratio refers to:
A. how a firm decides to borrow funds that it doesn’t have. B. using borrowed money to pay for investments. C. ratio of assets it has relative to its equity. D. ratio of assets it has relative to debt.
Within the framework of the Keynesian model, if spending is abnormally low,
a. the economy will be in equilibrium at full employment, but inflation will be high. b. equilibrium output will be less than the full-employment rate of output. c. the equilibrium output rate will exceed the economy's full-employment capacity. d. the actual rate of unemployment will be less than the natural rate of unemployment.
An American computer is priced at $1,200. If the exchange rate between the U.S. dollar and the Mexican peso is $0.09 = 1 peso, approximately how many pesos would a Mexican buyer pay for the computer?
A) 13,333 pesos B) 108 pesos C) 133.50 pesos D) 15,075 pesos
If the actual federal funds rate is 9 percent and the Fed's target federal funds rate is 8 percent, the Fed is most likely to adopt which of the following policies?
A. A sale of government bonds B. A reduction in the reserve requirement C. A more contractionary monetary policy D. An increase in the discount rate