If a bond was to pay off one year from now for $840 and was purchased for $800, what is the interest rate?
A) 4 percent B) 5 percent C) 20 percent D) 40 percent
B
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Which of the following is an example of inelastic demand?
a. A 10 percent increase in the price of milk leads to a 20 percent decrease in the quantity demanded of milk. b. A 10 percent increase in the price of milk leads to a 10 percent decrease in the quantity demanded of milk. c. A 10 percent increase in the price of milk leads to a 5 percent decrease in the quantity demanded of milk. d. A 10 percent increase in the price of milk leads to a 10 percent increase in the quantity demanded of milk. e. A 10 percent increase in the price of milk leads to a 5 percent increase in the quantity demanded of milk.
One of the benefits of the Hay System is that it can be used to
A. assign a task to each employee on the basis of seniority. B. determine the level of compensating wage differentials in risky jobs. C. determine the optimal mix of salary and fringe benefits. D. assign a position to each job within a firm's hierarchy.
The multiplier effect
a. and the crowding-out effect both amplify the effects of an increase in government expenditures. b. and the crowding-out effect both diminish the effects of an increase in government expenditures. c. diminishes the effects of an increase in government expenditures, while the crowding-out effect amplifies the effects. d. amplifies the effects of an increase in government expenditures, while the crowding-out effect diminishes the effects.
The expression "There's no such thing as a free lunch" means
a. if one person gains, someone else must lose. b. each person must pay for exactly what he or she receives. c. when scarce resources are used to produce one good they are unavailable to produce others. d. you cannot have a free lunch at the expense of someone else.