Suppose Exxon-Mobil announces that its profits in the third quarter of 2013 were $40 billion. This will cause the price of Exxon-Mobil stock to
A) rise.
B) fall.
C) remain unchanged.
D) rise, fall, or remain unchanged depending on the expectations of market participants before the announcement.
D
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"When countries specialize in producing the good in which they have a comparative advantage and then trade with each other, only the country with the absolute advantage gains
" Is the previous statement correct or incorrect? Briefly explain your answer.
Your neighbor likes to blast 1970's rock music and the louder the better. The loud music imposes a cost on you because it disrupts your study of economics. Let D stand for the volume of his music in decibels, B for his benefits and C for your costs, where B and C are measured in dollars. For any given volume, D, your neighbor's benefit is B = 0.63D - 0.002D2 and your cost is C = 0.06D + 0.001D2. With an efficient Pigouvian tax, what noise level will your neighbor choose?
A. 90 decibels B. 95 decibels C. 115 decibels D. 345 decibels
The low interest rates that prevailed after 1942 made World War II (1941–45) financing problems fundamentally the same as World War I (1914–18)
Indicate whether the statement is true or false
If we assume competitive labor markets, the supply curve of labor when the firm is a monopoly is
A. horizontal. B. upward sloping. C. vertical. D. downward sloping.