The amount of output that a firm decides to sell has no effect on the market price in a competitive industry because
A) the market price is determined (through regulation) by the government
B) the firm supplies a different good than its rivals
C) the firm's output is a small fraction of the entire industry's output
D) the short run market price is determined solely by the firm's technology
E) the demand curve for the industry's output is downward sloping
C
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The money market (short-run) equilibrium equation states that the demand for real balances, (L(i)Y) is always equal to the supply of real balances (M/P) because __ adjust(s) to ensure that people are willing to hold the entire stock.
a. nominal interest rates b. real interest rates c. the price level d. nominal GDP
A curve that shows the relationship between the price and quantity supplied during a particular period, all other things unchanged, is the:
A) price curve. B) supply curve. C) quantity function. D) production possibilities curve.