The relation S + (T - G) = I + NX describing the equilibrium of an economy explicitly demonstrates
A) deficit spending by the government reduces either investment and/or net foreign investment.
B) deficit spending reduces private saving (assuming net foreign investment remains unchanged).
C) as private saving increases net foreign investment must decrease, exports decline.
D) as private saving increases the deficit must decline if investment decreases.
A
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U.S. imports of sugar are limited by an import quota that, according to a study updated in 2013, imposed annual costs on American consumers of
A) $2,000,000. B) $1,500,000. C) $1,000,000,000. D) $200,000. E) $370,000.
The deregulation of AT&T was possible primarily because
a. CAB was abolished b. of satellite technology developments c. no competitors wanted to enter the market d. AT&T is a natural monopoly e. AT&T kept its monopoly on telephones, but not lines
The issue of bonds in corporate financing
a. is cheaper than stocks in the long run to the issuer. b. is riskier than stocks to the issuer. c. commits the issuer to make fixed annual payments even if profits are negative. d. All of the above are correct.
Which of the following is true?
a. Managed equity funds generally outperform indexed equity mutual funds. b. Managed equity funds merely hold stocks in the same proportion they are represented in a broad stock market index such as the Standard & Poor's 500. c. Indexed equity funds generally have lower management and operating costs than managed funds. d. Indexed equity funds generally engage in more stock trading than managed funds.