Recently, Chrysler bonds with a face value of 100 closed at 103 . The coupon rate was 12.75 . The current yield on these bonds was

When federal government expenditures exceed tax receipts, the Treasury must

A) expand the money supply. B) raise taxes. C) reduce spending. D) sell bonds.

If a competitive firm maximizes short-run profits by producing some quantity of output, which of the following must be TRUE at that level of output?

A) p = MC B) MR = MC C) p ? AVC D) All of the above.