The federal funds rate is

A) the interest rate paid on reserves held with the Fed.
B) the interest rate at which banks can borrow excess reserves from other banks.
C) the interest rate on bonds issued by the federal government.
D) none of the above.

B

Economics

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Dell Computers allows potential consumers to customize personal computers to their desires. Dell's strategy is successful because offering bundles that more exactly meet a consumer's preference allows Dell to extract more consumer surplus

Indicate whether the statement is true or false

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The long-run social benefits of infant industry protection are more likely to be realized if

(a) investors believe that tariff barriers are permanent. (b) investors believe that tariff barriers are transitory. (c) tariff barriers increase over time. (d) tariff barriers are replaced with quotas over time.

Economics