Other factors constant, the future value will be smaller:
A. The larger is its present value
B. The higher is the interest rate
C. The shorter is the time period t
D. The larger is the number of periods
C. The shorter is the time period t
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As capital deepening occurs, there will be
A) decreases in depreciation and decreases in saving. B) increased real wages and economic growth. C) decreased real wages and decreases in saving. D) economic growth and decreases in depreciation.
Which of the following situations will arise in the domestic market following the imposition of a tariff?
A) imports decrease, domestic production increases, prices decrease B) imports decrease, domestic production increases, prices increase C) imports increase, domestic production decreases, prices decrease D) imports increase, domestic production increases, prices increase
The relative concept of poverty is based on income relative to the
A. poverty line. B. average income. C. lowest 10 percent of incomes. D. highest 10 percent of incomes.
According to rational expectations theory, what information do businesses and workers use when they form their expectations regarding inflation?
a. Recent events and data. b. Keynesian and monetarist models. c. Forecasts by public-and private-sector economists. d. All the relevant information that is available.