The cost of producing an additional unit of output is the firm's

"A doubling of the price of gasoline in the 1970s did not reduce consumption one iota." The person making the above claim evidently thinks the demand for gasoline is

A) completely elastic. B) completely inelastic. C) greater than the supply. D) less than the supply. E) unit elastic.

All of the following impact the effectiveness of Fed policy except

A. Global sources of money. B. The willingness or reluctance of banks to lend funds. C. The responsiveness of interest rates to changes in the money supply. D. How well the Treasury follows the Fed's directions for releasing money.