Suppose a firm has 100 machines and 100 shares outstanding. The price per share is $2, and the purchase price of a machine is $1. So Tobin's q is equal to

What causes a production possibilities frontier to shift outward?

What will be an ideal response?

If policymakers attempt to offset a favorable inflation shock with monetary ________, the resulting long-run equilibrium will be at ________ inflation rate compared to allowing the self-correcting mechanism return the economy to potential output.

A. tightening; a lower B. tightening; a higher C. easing; a lower D. easing; a higher