In cost of capital calculations, the flotation cost on new debt is usually ignored because the flotation cost percentage for large debt issues is relatively low
a. true
b. false
a
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Keynesians believe in
a. active management of structural deficits an minimal cyclical deficits. b. running structural budget deficits to stimulate output c. running large surpluses during expansions. d. active management of cyclical deficits and minimal structural deficits. e. both c and d.
It is impossible for both nations to gain when trading with one other
a. True b. False Indicate whether the statement is true or false
Human capital is a type of social capital.
Answer the following statement true (T) or false (F)
At an output level of 8 thousand bushels, explain in terms of both marginal profit and total profit why the individual farmer should expand production.
In the competitive market for organic corn, market demand is QD = 340 – 2P and market supply is QS= 100 + 4P, where P is the price per bushel, and Q is market output in thousands of bushels. Each individual farmer faces a marginal cost function of MC = 10 + 3q, where q is the single farmer’s output level in thousands.