Suppose that over the past year, the real interest rate was 5 percent and the inflation rate was 3 percent. It follows that
a. the dollar value of savings increased at 5 percent, and the purchasing power of savings increased at 2 percent.
b. the dollar value of savings increased at 5 percent, and the purchasing power of savings increased at 8 percent.
c. the dollar value of savings increased at 8 percent, and the purchasing power of savings increased at 2 percent.
d. the dollar value of savings increased at 8 percent, and the purchasing power of savings increased at 5 percent.
d
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If the price of smoothies is $3.50 in the United States and the exchange rate is 110 yen per dollar, then what is the yen price of smoothies?
A) 110 yen B) 240 yen C) 318 yen D) 385 yen
The table above shows Tom's total utility from milkshakes and sodas. Tom's total budget for milkshakes and sodas is $20.00 per week. Milkshakes cost $2.00 each and sodas cost $.50 each
What quantity of milkshakes does Tom purchase at his consumer equilibrium? A) five B) six C) seven D) eight
If there were four firms in an industry each with a 25% market share, what would the Herfindahl-Hirschman Index equal?
a. 2500 b. 1250 c. 1,000 d. 625
A politician may be considered an entrepreneur in the sense that
a. he is always open to bribery. b. identical personal characteristics are necessary for success in politics and in business. c. the successful politician discovers and offers voters political goods when voter demand is strong for him. d. like the businessman, the politician selfishly attempts to gain at the expense of his customers.