Spending VCU4 on real-world goods and services causes the nation's:
a. Monetary base to rise.
b. M2 money supply to fall.
c. M2 money multiplier to remain the same.
d. M2 money supply to rise.
.C
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Which of the following is one of the concerns over having U.S. auto producers in China?
a. They will dump back onto U.S. markets. b. They will allow technology to leak to Chinese competitors. c. They cannot compete with the Japanese. d. They will allow the Chinese competitors to steal their business model.
Compared to a perfectly competitive firm, the demand curve facing a monopolistically competitive firm is
A) less elastic because monopolistically competitive firms produce similar, but not identical, products. B) more elastic because in the long run, the demand curve is tangent to the firm's average total cost curve. C) just as elastic because there are many sellers in both markets. D) more elastic because there are many close substitutes for the product of a monopolistically competitive firm.