If a firm buys a new computer system that costs $12,000 a year it can reduce the firm's cost by $900 a year. The firm should borrow funds and purchase this machine if it can negotiate an annual interest rate on the loan between:
A. 6 and 7 percent
B. 8 and 9 percent
C. 10 and 12 percent
D. 13 and 14 percent
A. 6 and 7 percent
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According to adaptive expectations theory, expansionary monetary and fiscal policies to reduce the unemployment rate are
A) useless in the short run
B) useless in the long run
C) ineffective on the price level
D) none of the above
A discouraged worker is someone who
A) is not in the labor force. B) is employed. C) has been fired. D) is unemployed.
In 2014, South America had a lower average GDP per capita than any other continent
Indicate whether the statement is true or false
Which is NOT an example of signaling high quality in a social setting
a. wearing a business suit on a job interview b. scrimping on the tip for the waiter after a dinner date c. offering an expensive engagement ring to your bride d. Visiting the beauty salon before a big date