In the figure above, the price of bonds would fall from P2 to P1 if
A) there is a business cycle recession.
B) there is a business cycle expansion.
C) inflation is expected to increase in the future.
D) inflation is expected to decrease in the future.
B
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If the nominal interest rate is less than the rate of inflation, the real interest rate:
a. will be less than zero. b. will be equal to the nominal interest rate. c. will equal zero. d. will be greater than zero. e. will be equal to the rate of inflation.
The output where MC = AVC is called the
A. revenue maximizing point. B. profit maximizing point. C. break-even point. D. shutdown point.
An over-the-counter (OTC) market is:
A. made up of dealers who buy and sell for their customers and for their own accounts. B. made up of dealers who only sell government bonds. C. an example of a centralized market. D. made up of dealer who buy and sell only for their own accounts.
Which of the following is a characteristic of a general? partnership?
A. Partnerships do not have to pay? taxes, but a corporation does. B. The partners have joint liability for the? firm's financial obligations. C. It is a corporation. D. Only one partner can make decisions. E. It is owned by one individual.