For which of the following goods is demand most sensitive to interest rate changes?

When deciding to implement a congestion tax, economists and the government would use the elements of the economic way of thinking to primarily determine

A) what tax amount should be charged. B) who should be exempt from the tax. C) if the tax would be allocated equitably. D) how much revenue will the tax generate.

According to mainstream economists, the Fed's adherence to a traditional monetary rule rather than to discretionary monetary policy is likely to:

A. reduce the severity of business cycles. B. increase the amount of instability in the economy. C. increase the rate of inflation. D. crowd out much-needed investment spending during times of rapid inflation.