7) The traditional Phillips Curve suggests a tradeoff between:
A.price level stability and income equality.
B.the level of unemployment and price level stability.
C.unemployment and income equality.
D.economic growth and full employment.
8) Answer the next question(s) on the basis of the following list of assets:
1> Large ($100,000 and over) time deposits
2> Noncheckable savings deposits
3> Currency (coins and paper money)
4> Small (under $100,000) time deposits
5> Stock certificates
6> Checkable deposits
7>Money market deposit accounts
8>Money market mutual fund balances held by individuals
9>Money market mutual fund balances held by businesses
Refer to the above list. The M1 definition of money comprises item(s):
A.6 only.
B.3, 4, and 6.
C.3 and 6.
D.2, 3, and 6.
9)
Refer to the above data. If the prices of labor and capital are $9 and $15 respectively, at
the profit-maximizing level the firm’s total output will be:
A.38 units.
B.60 units.
C.64 units.
D.27 units.