Of the following exchange rate arrangements, in which does the exchange rate fluctuate around a fixed central target rate while allowing a moderate amount of fluctuation?

An inflationary gap is the amount by which

A) total planned production exceeds total planned real expenditures in the long run. B) the short-run equilibrium level of nominal GDP is above the short-run level of real GDP. C) the short-run equilibrium level of nominal GDP is below the short-run level of real GDP. D) the short-run equilibrium level of real GDP is above the full-employment level of real GDP.

At the current level of production, if the firm's marginal costs exceeds marginal benefits, then

a. The company should produce more b. The company is maximizing profit at this output c. The company is producing too much d. Not possible to determine