The real rate of interest is 4% and the anticipated rate of inflation is 1%. What is the nominal rate of interest?

Laws that are used to prevent firms from colluding and setting high prices are called

A) anti-trust laws. B) price ceiling laws. C) anti-cartel laws. D) anti-competition policies.

If a firm increases all of its inputs by 10 percent and its output increases by 15 percent, then:

A. it is encountering diseconomies of scale. B. it is encountering economies of scale. C. the law of diminishing returns is taking hold. D. the firm's long-run ATC curve will be rising.