According to efficient market theory, which of the following can best predict the stock price of a particular company tomorrow?
A) a finance professor who knows a lot of investment theory
B) a stock trader who has traded stocks for more than 10 years
C) that company's employee who has inside information about the company
D) none of the above: Everyone has an equal chance of predicting future stock prices.
Answer: C
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The figure above shows the market for tires. The government has imposed a tax on tires, and the sellers pay ________ of the tax
A) $10 B) $20 C) $50 D) $60 E) $30
At various points along the production possibilities frontier,
a. the greatest achievable output levels are illustrated b. resources are not fully employed c. more of one good can be obtained without giving up more of the other d. more efficient output levels are possible e. society is equally well off
Banks became more willing to make subprime loans because of:
A. securitization. B. leveraging. C. hedging. D. herd behavior.
_________ is the investment that individuals make in education, training, and health care that raise their productive capacity.
A. Capital market B. Human capital C. Human engineering D. Private good production