In the short run, a competitive firm has a marginal product of labor, MPL = 5L-0.5. The output price is $10 per unit and the wage is $7 per hour. The short-run labor demand curve for the firm is

According to estimates of the Taylor rule, monetary policy was too tight

A) from 1960 to 1965. B) from 1965 to 1979. C) in the 1980s. D) in the 1990s.

The greater the the number and closeness of substitutes available between monopolistically competitive firms

A) the greater the ability of a firm to raise its price above the price of close substitutes. B) the smaller the ability of a firm to raise its price above the price of close substitutes. C) the more inelastic the demand curve. D) the greater the positive economic profits for a single firm.