According to monetarists:
A. changes in the money supply are the primary cause of changes in the price level.
B. an expansionary fiscal policy will lower interest rates and overstimulate the economy.
C. changes in the velocity of money are more important than changes in the money supply in
causing the level of economic activity to change.
D. the supply of money changes in response to changes in the levels of real output and
prices.
A. changes in the money supply are the primary cause of changes in the price level.
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The table above lists the market shares of the twenty makers of personal computers. The four-firm concentration equals
A) 5 percent. B) 20 percent. C) 25 percent. D) 100 percent.
Assume that a security has two possible outcomes. There is a 50 percent chance that the yield will equal 12 percent and a 50 percent chance that the yield will equal 4 percent. The expected yield for this security is
A) 16 percent. B) 12 percent. C) 8 percent. D) 4 percent.