1. What disadvantages exist if your country has a strong currency?
2. Explain the difference between a debt and a deficit.
3. Define quantitative easing. How is it different from standard open market operations?
4. Explain the three types of fiscal-policy lags.
5. What three reasons are often offered in support of trade restrictions?
6. Which nations are the three largest trading partners of the United States?
7. Who benefits and who loses from a tariff? What is the new outcome for society?
8. Show that with price discrimination across two markets, the lower price corresponds to the more elastic demand.
9. Does a price searching firm (monopolist) have a “supply curve”? If “yes” show carefully how it is derived; if “no” demonstrate or explain why not.