Price cap regulation is regulation that A) is a marginal cost ...

[ss2343]

Price cap regulation is regulation that
 
  A) is a marginal cost pricing rule.
  B) is an average cost pricing rule.
  C) imposes a price ceiling on the regulated firm.
  D) has the same incentive effects as does rate of return regulation.
  E) is the same as allowing the firm to operate as if it was totally unregulated.

Question 2

An advantage monetary policy has over fiscal policy is that monetary policy
 
  A) can be quickly changed and implemented.
  B) is coordinated with fiscal policy.
  C) is approved by the president of the United States.
  D) affects consumption expenditure and investment without impacting international trade.
  E) has no multiplier effects.

[ebe]

Answer to Question 1

C

Answer to Question 2

A