The three most widely followed stock indexes in the United States include all of the following except
A) the Dow Jones Industrial Average.
B) the S&P 500.
C) the Fortune 500.
D) the NASDAQ Composite Index.
Answer: C
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In a game, a dominant strategy is
a. the best strategy for a player to follow only if other players are cooperative. b. the best strategy for a player to follow, regardless of the strategies followed by other players. c. a strategy that must appear in every game. d. a strategy that leads to one player's interests dominating the interests of the other players.
Which of the following is not correct?
a. The higher average return on stocks than on bonds comes at the price of higher risk. b. Risk-averse persons will take the risks involved in holding stocks if the average return is high enough to compensate for the risk. c. Insurance markets reduce risk, but not by diversification. d. Risk can be reduced by placing a large number of small bets, rather than a small number of large bets.
Equilibrium GDP on the demand side occurs when total spending
A. equals total production, and inventories are zero. B. equals total production, and firms are unable to adjust inventories. C. exceeds total production, and inventories are rising. D. equals total production, and inventories remain at desired levels. E. is less than total production, and inventories are falling.
The marginal product of labor is
a. the average number of units produced by each worker. b. the additional output produced when another worker is hired. c. a worker's weekly production. d. the total number of units each worker is capable of producing.