For some investment projects, typically large-scale and long-term, such as housing construction or expansion of automobile assembly lines,
a. the interest rate has no influence on the investment decisions
b. investment decisions depend directly on saving by firms in those industries
c. slight changes in the interest rate rarely affect decisions
d. interest charges are an important cost factor
e. autonomous investment varies according to production quotas
D
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The owner of a scenic waterfall is trying to decide whether to rent the site to a manufacturing firm as an industrial power source or to rent it to a recreational association, which would turn the site into a park and campground
Which of the following statements is true? A) An increase in the price of fossil fuels will increase the cost of renting it to the recreation association. B) Social welfare is maximized when the owner rents to the higher bidder. C) The cost to the owner of renting to one or the other depends entirely upon the owner's preferences between economic growth and recreational facilities. D) The owner can choose without regard to cost because the site is a free natural resource. E) The owner can choose without regard to cost insofar as the waterfall is privately owned.
A monopolist has a marginal revenue curve given by MR = 102 - Q, and a total cost curve given by TC = Q2 + 16. The monopolist's profit maximizing price and quantity are ________, ________ respectively.
A. 85; 34 B. 52; 50 C. 77; 50 D. 100; 2
The primary purpose of ________ is to encourage the expenditure of funds on research and development to create new products
A) centrally planned economies B) government-run health care C) nationalizing oil companies D) patents and copyrights
Trade sanctions have generally been an effective diplomatic weapon in changing the behavior of rogue countries.
Answer the following statement true (T) or false (F)