The equity premium is the return
A) investors expect to equal a risk free investment.
B) covered by stockholder insurance.
C) on bonds.
D) investors expect above a risk free investment.
D
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Which of the following is not considered part of M2?
a. Small time deposits of less than $100,000. b. Money market mutual fund shares. c. Savings deposits. d. Large time deposits of more than $100,000.
In year 1 the CPI is 140, and in year 2 the CPI is 160. From year 1 to year 2, Chiang's salary rises from $42,000 to $49,000, and Marta's salary rises from $55,000 to $60,000. Who is "more than keeping up with inflation"?
A) Marta B) Chiang C) both Marta and Chiang D) neither Marta nor Chiang
Answer the following statement(s) true (T) or false (F)
1.Producer surplus is the difference between the highest price a consumer is willing to pay for a product and the revenues the supplier receives for it. 2.Free trade might increase the prices paid by domestic consumers, but this negative effect is offset by gains experienced by producers. 3.Through free trade, wealth is sometimes redistributed from producers to consumers. 4.When a country exports a good, domestic consumers are negatively affected. 5.Imports hurt domestic consumers, but the losses are offset by producer gains.
Refer to the information provided in Figure 23.1 below to answer the question(s) that follow.
Figure 23.1Refer to Figure 23.1. [-500 + 0.5Y] is this household's
A. consumption. B. saving. C. MPC. D. MPS.