The WTO and GATT promote trade by

If real GDP grows by 3 percent, the velocity of circulation grows by -4 percent, and the quantity of money grows by 3 percent, then in the long run the inflation rate is

A) 1 percent. B) -1 percent. C) 4 percent. D) -4 percent. E) 10 percent.

Critics argue that society is depleting its energy resources far too quickly. The most likely explanation for this behavior is that

a. firms try to avoid making irreversible decisions about resource depletion. b. investors expect interest rates to fall continuously in the future. c. individuals tend to value their own well-being more highly than the well-being of future generations. d. people do not have what Pigou called a "defective telescopic faculty."