Nontraded securities are part of
A) direct, but not indirect finance.
B) indirect, but not direct finance.
C) direct and indirect finance.
D) neither direct nor indirect finance.
B
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Economic fine-tuning is the (usually frequent) use of
A) monetary policy that is based on a predetermined steady growth rate in the money supply to counteract even small undesirable movements in economic activity. B) only fiscal policy to counteract even small undesirable movements in economic activity. C) monetary and fiscal policies to counteract even small undesirable movements in economic activity. D) fiscal policy that both balances the budget and counteracts even small undesirable movements in economic activity.
The opportunity cost of investing in a new lithotripter (a machine that pulverizes kidney stones with sound waves) is:
a. defined by the dollar cost of the equipment. b. defined by the next best use of the money invested in the equipment. c. the same for every health care provider. d. impossible to calculate. e. measured by the difference between the expected revenues from selling the services of the lithotripter and the invoice cost of the machine
If the price elasticity of demand is 0.6, then a 10 percent increase in the price of the good will lead to a ________ in the quantity demanded.
A. 0.6 percent decrease B. 6 percent decrease C. 6 percent increase D. 0.6 percent increase
Joe has broken the mirror of my car. I have legal recourse to sue for damages because of
A) social costs. B) transactions costs. C) common property rights. D) private property rights.