Which of the following is an example of a discretionary fiscal policy during a recession?
A) A temporary tax cut to boost consumption
B) A decrease in money supply to lower the federal funds rate
C) A decrease in transfer payments to unemployed workers
D) An increase in tax rates to increase revenue
A
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Which of the following will both make people buy less?
a) wealth falls and interest rates fall b) wealth and interest rates rise c) wealth falls and interest rates rise d) wealth rises and interest rates fall
Which of the following is a reason why airline yield management is an effective method to increase revenue?
A) because airlines have successfully induced customers to reveal their resources and preferences by offering them different versions of the product such as business class and coach plane tickets B) because airlines have a monopoly in long-distance carriage C) because a ticket is a contract to transport a specific person, and is not transferable D) because airlines have invested heavily in developing computer models that identify optimal pricing strategies in the various market segments