A decrease in the supply of nurses will the equilibrium wage and the equilibrium quantity of nursing services.

A tax equal to the external marginal cost of an activity yields the efficient level of production because the tax

A) achieves the competitive equilibrium. B) forces producers to face all costs of production including the external cost. C) ensures greater profits for the firm. D) eliminates all pollution.

The euro is said to be selling at a ________ if the spot dollar price is $1.18 and the nine-month forward rate is $1.16

A) forward discount B) forward premium C) forward spread D) none of the above