Assume that you purchased a $1,000 perpetual bond and the interest rate on that bond declined from 5 percent to 2 percent. Thus,
a. the bond price increased by $1,500.
b. you could sell this bond at a capital gain.
c. if this was anticipated, the speculative demand for money fell.
d. All of the above
e. None of the above
D
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Refer to Figure 5-3. The deadweight loss due to the externality is represented by the area
A) nso. B) mso. C) msn. D) mtn.
According to the adaptive rationality standard, people's goals:
A. are a choice variable, and people's choices about which goals to pursue are made efficiently. B. are fixed, and people are efficient at pursuing whatever goals they happen to hold at the moment of action. C. are fixed, and people are often inefficient at pursuing those goals, which explains why people experience regret. D. are a choice variable, and people may not be efficient at choosing which goals to pursue.
Demand is inelastic when elasticity is ______.
a. less than 1 b. less than 2 c. more than 1 d. more than 2
Discuss the problems with policies to limit catch size and the use of the total allowable catch (TAC) policy
What will be an ideal response?