An inflationary gap will eliminate itself through a process of price increases

a. True
b. False
Indicate whether the statement is true or false

True

Economics

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The free-rider problem with a public good leads to

A) inefficiency if the good is provided by only private markets with no government action. B) overproduction if the good is provided by private markets. C) underproduction if the good is provided by the government. D) None of the above answers is correct.

Economics

If the money supply is $500 and nominal income is $4,000, the velocity of money is

A) 1/20. B) 1/8. C) 8. D) 20.

Economics