If the price elasticity is between 0 and 1, demand is

What was the response to Germany's expansionary fiscal policy from the German central bank, the Bundesbank?

A) It expanded the money supply to ease rates of interest. B) It made no policy changes. C) It contracted the money supply and raised interest rates. D) It began the process of reverting to a gold standard.

Monopolistic competition is judged to be economically inefficient because

A) the price is greater than marginal cost. B) firms earn zero economic profit in the long run. C) marginal revenue equals marginal cost. D) firms have deficient capacity in the long run. E) firms earn an economic profit in the long run.