For a monopoly to be ________, the firm must realize economies of scale at a scale that is close to total demand in the market.

Transfer payments are not part of government expenditure on goods and services because transfer payments

A) are not predictable given the nature of their appropriation and allocation. B) do not represent the purchase of a final good or service. C) are not always spent on goods produced in the U.S. D) The premise of the question is incorrect because transfer payments are part of government purchases of goods and services.

The costs of disinflation would be low if

A) expected inflation falls as inflation falls. B) wage and price controls were used. C) the Phillips curve were nearly horizontal. D) the Phillips curve adjusted slowly to changes in inflation.