Interest rate (on any bond) is equal to
A. Sum of risk free (Treasury) interest rate + risk premium.
B. Risk free ( Treasury) interest rate – risk premium
C. Risk free (Treasury) interest rate.
D. None of these.
Answer: A
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The marginal cost curve intersects the average fixed, average variable, and average total cost curves all at their minimum points
Indicate whether the statement is true or false
______ is a fixed-weight index that is based on a consumption bundle actually purchased in the base year.
A. A Lespeyres price index B. Compensating variation C. Real income D. The inflation rate
Using the vertical long-run aggregate supply curve, an increase in the aggregate demand for an economy would have which of the following effects in the long-run?
A) An increase in government spending to shift aggregate demand to the right. B) An increase in aggregate output and a rise in the price level. C) No change in aggregate output and a fall in the price level. D) No change in aggregate output and a rise in the price level.
Use economic analysis to explain why tenants in New York City who are covered by rent-controlled laws do not want to move
Please provide the best answer for the statement.