The hypothesis stating that people combine the effects of past policy changes on important economic variables with their own judgment about the future effects of future and current policy changes is known as

Suppose tastes are NOT monotonic anywhere. Then diminishing MRS is not consistent with convexity of tastes.

Answer the following statement true (T) or false (F)

A patent on a product gives a firm

A. protection from having the invention copied or stolen for a period of 20 years. B. excessive profits in the long run. C. economies of scale in producing the product. D. the power to impose a tariff on a competing product.