An important effect of foreign currency speculators is that
a. they have consistently lost money and have left the market.
b. they have pushed exchange rates to wider extremes than most economists predicted.
c. they actually limit the volatility of exchange rate movements.
d. they have had no effect at all on exchange rate volatility.
c
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The producer surplus to a monopolist must be
A) less than zero or the firm is in violation of anti-trust statutes. B) at least as great as the producer surplus in a competitive market. C) positive, otherwise why would the monopoly produce? D) the same as for a competitive market.
Which of the following is not an advantage of the chain weighted CPI over the fixed CPI?
a. the chain-type index includes newer products b. the chain index incorporates the increase in the quality of goods c. the chain index includes discounting and the substitution of products d. the chain index includes the price of the product only at standard prices