Firms that maximize sales always produce more than profit-maximizing firms

a. True
b. False
Indicate whether the statement is true or false

True

Economics

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When disposal income is $5.0 trillion, consumption expenditure is $4.5 trillion. When disposal income is $6.0 trillion, consumption expenditure is $5.0 trillion. What is the marginal propensity to consume?

What will be an ideal response?

Economics

If the Fed sells government securities, in the short run the nominal interest rate ________ and the real interest rate ________

A) rises; does not change B) rises; rises C) does not change; rises D) falls; falls E) rises; falls

Economics