David recently received an inheritance, and he is planning to invest the inheritance in one of four stock portfolios. Which of these portfolios would you expect to have the highest risk?
a. A portfolio with an average annual rate of return of 5%.
b. A portfolio with an average annual rate of return of 8%.
c. A portfolio with an average annual rate of return of 10%.
d. A portfolio with an average annual rate of return of 14%.
d
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Based on the figure below. Starting from long-run equilibrium at point C, a decrease in government spending that decreases aggregate demand from AD1 to AD will lead to a short-run equilibrium at__ creating _____gap.
A. B; no output B. D; an expansionary C. B; recessionary D. D; a recessionary
Can activities like driving faster than the speed limit or driving without wearing a seat belt be considered rational behavior? Why or why not?
The money supply of Granov is $10,000 in a 100-percent-reserve banking system. If the Central Bank of Granov decreases the reserve requirement ratio to 10 percent, the money supply could increase by no more than $9,000
a. True b. False Indicate whether the statement is true or false
Along a perfectly competitive industry's long-run supply curve
A. the market price is higher than the marginal costs of firms B. the number of firms is constant. C. economic profits are zero. D. economic profits are positive.