In the coordination failure model, how is a particular equilibrium attained?
A) The Federal Reserve picks it.
B) It depends on total factor productivity shocks.
C) It depends on money supply shocks.
D) because people expect it to be the equilibrium.
D
Economics
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The story about the mass slaughter of buffalo in the United States, which allowed the products to be exported during the 1870s, is an example of:
a. the first-mover principle. b. the principle of comparative advantage. c. the tragedy of the commons. d. export subsidies.
Economics
What is a currency band?
a. a limit below which the currency is not allowed to fall b. a limit above which the currency is not allowed to rise c. a fixed rate regime with some small variation allowed, up or down d. a very rigid control of the currency-no variation allowed
Economics