Commercial banks limit the adverse selection problem through ________

A firm's long-run average cost curve shows the ________ average cost at which it is possible to produce each output when the firm has had ________ time to change both its labor force and its plant

A) highest; sufficient B) lowest; sufficient C) lowest; insufficient D) highest; insufficient E) average; sufficient

Among the prospective rules that set target variables directly, only the nominal GDP rule

A) provides a nominal anchor. B) is easy for the Fed to achieve. C) allows a neutral response to a supply shock. D) is insulated from the effects of unstable velocity.