Expansionary monetary policy tends to:
A. lower the U.S. interest rate and decrease the U.S. exchange rate.
B. lower the U.S. interest rate and increase the U.S. exchange rate.
C. increase the U.S. interest rate and decrease the U.S. exchange rate.
D. increase the U.S. interest rate and increase the U.S. exchange rate.
Answer: A
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The economic growth rate is expressed as the
A) growth rate of real GDP minus the growth rate of population. B) growth rate of the population. C) standard of living. D) annual percentage change of real GDP per person. E) annual percentage change of real GDP.
Investing $2 million of your own money in your business is an example of an _______ cost.
Fill in the blank(s) with the appropriate word(s).
Next year, the price of a stock is expected to be $2,200 and the stock will pay a $55 dividend. The interest rate is 10%. Based on the dividend-discount model, what is the current price of this stock
A. $2,050 B. $1,980 C. $2,000 D. $2,035
Figure 9.2 shows the cost structure of a firm in a perfectly competitive market. Suppose that market price falls to $6. If the firm produces at an output level that causes it to suffer an economic loss of $120, its average total cost (X) is:
A. $8. B. $7.50. C. $6.50. D. $4.