As a group, oligopolists earn the highest profit when they
a. achieve a Nash equilibrium.
b. produce a total quantity of output that falls short of the Nash-equilibrium total quantity.
c. produce a total quantity of output that exceeds the Nash-equilibrium total quantity.
d. charge a price that falls short of the Nash-equilibrium price.
b
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Movement along an indifference curve causes the loss in marginal utility (MU) of one good to ____ the marginal utility (MU) gained from another good
a. exceed b. reduce c. equal d. maximize
Refer to the diagram, where T is tax revenues and G is government expenditures. All figures are in billions of dollars. If the full-employment GDP is $400 billion while the actual GDP is $200 billion, the:
A. actual budget deficit exceeds the cyclically adjusted budget deficit.
B. actual budget deficit is less than the cyclically adjusted budget deficit.
C. cyclically adjusted deficit exceeds the cyclical deficit.
D. cyclical deficit exceeds the cyclically adjusted deficit.