The compensation savers receive for waiting on their consumption is the

A. expected rate of inflation.
B. nominal interest rate minus the real interest rate.
C. nominal interest rate.
D. real interest rate.


Answer: D

Economics

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Marginal revenue is the change in:

a. total revenue resulting from a one unit change in output. b. total revenue resulting from a change in marginal cost. c. price resulting from a one unit change in output. d. none of these.

Economics

Which of the following is an effect of paper recycling on pulpwood?

a. Recycling leads to an increase in acreage devoted to pulpwood. b. Recycling leads to a decrease in acreage devoted to pulpwood. c. Recycling increases the demand for pulpwood. d. Recycling increases the market price of pulpwood.

Economics

If the writer of an option, holds shares of the stock or an actual quantity of the commodity when she writes the call option on it, her position is said to be:

a. protected. b. exposed. c. covered. d. naked.

Economics

Free trade may lead to more pollution because

A. with free trade, the size of the economy increases resulting in higher production and consumption. B. competition among nations invariably leads to less restrictive pollution standards. C. imported products are produced using cleaner production techniques than domestic products. D. the countries may not specialize in the production of goods in which they have comparative advantage.

Economics