The product-variety externality and the business-stealing externality are both spillover costs of new firms entering a monopolistically competitive market

Which of the following statements is correct?

A) The Fed has difficulty covering its normal expenses, but is reluctant to ask Congress for money. B) The Fed is dependent on the annual appropriations it receives from Congress. C) The Fed's profits are substantial, even when compared to the largest U.S. corporations. D) At one time the Fed made substantial profits, but falling interest rates have greatly reduced them.

The University of Iowa was voted the #1 "party school" in 2013 . The University of Iowa is located in Iowa City. At the end of August each year, the market demand for beer in Iowa City

a. decreases. b. increases. c. remains constant, but we observe a movement downward and to the right along the demand curve. d. remains constant, but we observe a movement upward and to the left along the demand curve.