A key benefit for nations in a politically integrated currency union such as the United States is the existence of fiscal federalism. What is the status of fiscal federalism in the Eurozone?
A) It is almost nonexistent because few fiscal transfers take place.
B) It is thriving and encompasses many aspects of the economy.
C) Most believe it currently lags the United States, but the situation is very fluid and will change soon.
D) Fiscal federalism is a concept that has relevance only in the United States because each Eurozone nation is completely independent.
Ans: A) It is almost nonexistent because few fiscal transfers take place.
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The increased use of credit cards leads to
A) no movement along the demand curve for money nor a shift in the demand curve. B) a leftward shift in the demand for money curve. C) a rightward shift in the demand for money curve. D) a movement downward along the demand for money curve. E) a movement upward along the demand for money curve.
Most students attending college pay tuition and are unable to hold a full-time job. For these students, tuition is
A) part of the opportunity cost of going to college. So are their forgone earnings from not holding a full-time job. B) part of the opportunity cost of going to college. Their forgone earnings from not holding a full-time job are not part of the opportunity cost of attending college. C) not part of the opportunity cost of going to college, but their forgone earnings from not holding a full-time job are part of the opportunity cost of attending college. D) not part of the opportunity cost of going to college. Neither are their forgone earnings from not holding a full-time job.