Using the Taylor rule, if the current inflation rate exceeds the target inflation rate and real GDP exceeds potential GDP, then the federal funds target rate ________ the sum of the current inflation rate plus the real equilibrium federal funds rate
A) may be greater than or less than B) will be greater than
C) will be the same as D) will be less than
B
Economics
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The minimum efficient scale is the level of output where the short-run average-total-cost curve reaches its minimum point
a. True b. False Indicate whether the statement is true or false
Economics
A budget line is constructed to show
a. how consumers who budget their expenditures achieve more satisfaction than those who do not. b. the set of all baskets that the consumer can afford, given prices and his or her income. c. the set of all baskets that the consumer would be willing to purchase given various prices for the goods in the basket. d. the set of all baskets that the consumer considers equally desirable.
Economics