What is the rate of return on a bond with a coupon of $55 that was purchased for $900 and sold one year later for $950?
A) 5.56%
B) 6.11%
C) 11.67%
D) 12.43%
C
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A key assumption of new growth theory is that
A) all technological change is the result of luck. B) higher incomes lead to a higher birth rate. C) a successful innovator has the opportunity to earn a temporary, above-average profit. D) the population growth rate is lower than the real interest rate.
The degree of wage stickiness in the real world:
A. is controversial, even among economists. B. is agreed upon by economists, but not accepted by others, like policymakers. C. is agreed upon by economists as a concept, but controversial in how it's measured. D. has been estimated by economists.
Increases in the prices of services due to improvement in its quality indicate a(n) _____
a. decline in productivity. b. decline in real GDP. c. increase in output. d. decline in manufacturing output. e. increase in technological progress.
If the marginal utility to Juan of sleeping an extra hour (from 8 a.m. to 9 a.m.) is negative,
a. Juan is better off getting up at 8 a.m. b. Juan is better off getting up at 9 a.m. c. Juan's total utility from sleeping must be negative. d. Juan's average utility from every hour he sleeps must be negative.