In general, the lower the exercise price relative to the current spot rate price of the currency, the more valuable

Monetarists think that the government:

a. should take an active role in the economy. b. should change the money supply growth rate regularly to achieve low inflation. c. should actively intervene in the economy, but only by decreasing the fiscal expenditure. d. should intervene in the economy as little as possible. e. should consciously set out to achieve full employment.

Over the last 60 years, the average annual growth of real GDP in the United States has been approximately

a. 1 percent. b. 3 percent. c. 5 percent. d. 9 percent.