ECO/561 Final Exam Answers - Updated 2013

           Economics - (MBA Program)

1) Stabilizing a nation's price level and the purchasing power of its money can be achieved:

A. with neither fiscal nor monetary policy.

B. only with fiscal policy.

C. with both fiscal and monetary policy.

D. only with monetary policy.

2) Non-price competition refers to:

A. reductions in production costs that are not reflected in price reductions.

B. price increases by a firm that is ignored by its rivals.

C. advertising, product promotion, and changes in the real or perceived characteristics of a product.

D. competition between products of different industries, for example, competition between aluminum and steel in the manufacture of automobile...