If the total utility for eating up to five $2.00 hamburgers is 40, 60, 70, 75, 70, respectively, which of the following is true?
a. A rational consumer would choose to eat five hamburgers at the price of $2.00
b. A rational consumer would choose to eat five hamburgers only if the price was reduced to $1.00.
c. A rational consumer would choose to eat five hamburgers only if the 5th hamburger as free.
d. A rational consumer would have to be compensated to eat the 5th hamburger.
d
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When a law freezes residential rents at their existing level for as long as the vacancy rate remains below some target level,
A) owners will be encouraged to supply additional rental units. B) rents will be frozen indefinitely, or at least until the law is changed. C) affordable housing to low-income people will be guaranteed. D) the vacancy rate will rise.
The money multiplier
A) equals 1 over the required reserve ratio. B) is an expression that converts the monetary base to the money supply. C) is larger than the simple deposit multiplier. D) is completely controlled by the Fed.