Assume a closed economy, that taxes are fixed, and the marginal propensity to consume is equal to 0.8. What is the government spending multiplier?

When exchange rates are__ , agreeing to wait for one week from today to engage in an international transaction carries __

a. flexible rather than fixed; less risk b. flexible rather than fixed; the same amount of risk c. flexible rather than fixed; more risk d. fixed rather than flexible; the same amount of risk

A national taco chain offers in-house customers free refills on drinks. It is

A) attempting to increase total profit. B) selling its meals below cost. C) selling drinks below cost. D) engaging in predatory pricing. E) doing all of the above.