You want to invest in a firm whose profits show large fluctuations throughout the business cycle. Which of the following would you invest in?
A) A corporation that depends heavily on business fixed investment
B) A corporation that depends heavily on consumer services
C) A corporation that depends heavily on consumer nondurables
D) A corporation that depends heavily on government purchases
A
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A report indicated that the average real wage in manufacturing declined by 2% between 1990 and 2000. If the CPI equaled 1.30 in 1990, 1.69 in 2000, and the average nominal wage in manufacturing was $35 in 2000, what was the average nominal wage in manufacturing in 1990?
A. $27.47 B. $26.92 C. $21.13 D. $26.40
A cost center is
a. evaluated based on minimizing costs within the division b. evaluated based on maximizing costs within the division c. evaluated based on minimizing profits generated by the division d. evaluated based on maximizing profits generated by the division
In a competitive market, there are so few buyers and so few sellers that each has a significant impact on the market price
a. True b. False Indicate whether the statement is true or false
Which of the following policies would be most likely to reduce the rate of inflation?
A. sale of government bonds by the Federal Reserve B. a reduction in the discount rate C. an increase in the size of the federal budget deficit D. a reduction in the required reserves imposed on the banking system