A put option is said to be "in the money" if
A) it is written on a Treasury bill or other money-market asset.
B) it has increased in price since it was first written.
C) the price of the underlying asset is currently less than the strike price.
D) the price of the underlying asset is currently less than the strike price plus the option premium.
C
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An increase in the supply of dollars on the foreign exchange market, all else equal, will result in:
A) appreciation of the U.S. dollar and depreciation of the foreign currency. B) appreciation of the U.S. dollar and appreciation of the foreign currency. C) depreciation of the U.S. dollar and depreciation of the foreign currency. D) depreciation of the U.S. dollar and appreciation of the foreign currency.
Which of the following statements best describes the perspective of many mainstream economists?
a. Many mainstream economists take a Keynesian perspective, emphasizing the importance of aggregate demand, for the long run, and a neoclassical perspective, emphasizing the importance of aggregate supply, for the short run. b. Many mainstream economists take a Keynesian perspective, emphasizing the importance of aggregate demand, for the short run, and a neoclassical perspective, emphasizing the importance of aggregate supply, for the long run. c. Many mainstream economists take a neoclassical perspective, emphasizing the importance of aggregate demand, for both the short and long run. d. Many mainstream economists take a Keynesian perspective, emphasizing the importance of aggregate demand, for both the short and long run.
Mikki works five hours at a DVD store the night before her economics exam. She earns $75, but her exam score is 10 points lower than it would have been had she stayed home and studied. Her opportunity cost of working is the
a. five hours she worked b. $75 she earned c. 10 points she lost on her exam d. time she could have spent studying e. zero, because she made an economic choice from among her several possibilities
The rise in unemployment in a country resulted in many unemployed people turning to criminal activity such as drug dealing, violent theft, and robbery as an alternative means to make money. It also led to growing political unrest. Therefore, unemployment in this country resulted in _____
a. a loss of lifetime earnings b. a loss of human capital c. the deterioration of health d. a loss of social cohesion