The above figure shows the payoff matrix for two firms, A and B, selecting an advertising budget. The firms must choose between a high advertising budget and a low advertising budget. Firm B's dominant strategy

The costs to firms of changing prices are called

A) menu costs. B) redistribution costs. C) anticipation costs. D) money illusion costs.

The three main monetary policy tools used by the Federal Reserve to manage the money supply are

A) interest rates, tax rates, and government spending. B) open market operations, discount policy, and reserve requirements. C) tax rates, government purchases, and government transfer payments. D) open market operations, the exchange rate of the dollar against foreign currencies, and government purchases.