Rational Expectations Theory attributes the ineffectiveness of government inflation policy to an inability to adequately account for people being able to anticipate policy actions and consequences

The median voter votes yes for a project if

A) the value of the project for him is larger than the tax he needs to pay. B) the value of the project for him is smaller than the tax he needs to pay. C) the total benefits are positive. D) the total cost is zero.

The conditions in which vertical relationships can enhance a firm's ability to price discriminate include

a. the manufacturer's product is of value to just one type of customer b. the costs of arbitraging the price differences across markets is large c. the manufacturer acquires the distributer in the higher priced market d. lack of competition provide the manufacturer with the ability to price above marginal cost