The rate that the Fed controls most closely through its open-market operations is the

Suppose the market for potatoes can be expressed as follows:

Supply: QS = -20 + 10p Demand: QD = 400 - 20p If the government sets a maximum price of $10 per unit, what will be the quantity demanded and quantity supplied?

Which of the following is a TRUE statement about the economic assumption of rationality?

A) Individuals who are rational necessarily ignore the interests of others. B) Individuals generally act as though they are rational. C) Individual behavior may be irrational but group behavior is always rational. D) People make decisions as if they are omniscient.