A monopolist has total cost TC = Q2 + 10Q + 100 and marginal cost MC = 2Q + 10 . It faces demand Q = 130- P (so its marginal revenue is MR = 130 - 2Q). Its profit-maximizing output

If the Federal Reserve decreases the Federal funds rate, other short-term interest rates ________ and the exchange rate ________

A) fall; falls B) do not change; rises C) fall; does not change D) fall; rises E) do not change; falls

When Exxon Mobil reports record profits of more than $10 billion per quarter, we know

A) other oil companies must be struggling. B) consumers must be paying high prices at the pump. C) consumers must have lost $10 billion in surplus. D) all of the above. E) none of the above follow from the information given.