If the monetary authorities persistently expand the money supply at a rapid rate, the probable result will be:
a. inflation
b. low nominal interest rates.
c. rapid growth of real GDP.
d. all of the above.
a
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The expected rate of change in the nominal dollar/euro exchange rate is best described as
A) the expected rate of change in the real dollar/euro exchange rate minus the U.S.-Europe expected inflation difference. B) the expected rate of change in the real dollar/euro exchange rate plus the U.S.-Europe real interest rate difference. C) the expected rate of change in the real dollar/euro exchange rate plus the U.S.-Europe expected inflation difference. D) the expected rate of change in the real dollar/euro exchange rate minus the U.S.-Europe real interest rate difference. E) the expected rate of change in the real dollar/euro exchange rate plus the European expected inflation.
A monopolist has equated marginal revenue to zero. The firm has:
A) maximized profit. B) maximized revenue. C) minimized cost. D) minimized profit.