Index funds are a portfolio of:
A. bonds with rates of return fixed at 2 percentage points above the rate of inflation.
B. mutual funds that track different indexes.
C. stocks or bonds that exactly match a particular index.
D. stocks guaranteed rates of return in excess of growth in the GDP price index.
C. stocks or bonds that exactly match a particular index.
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Tommy spends most of his monthly budget on $3 video game rentals or $6 packets of baseball cards. The opportunity cost to Tommy of an extra packet of baseball cards is
A. one video game rental. B. two video game rentals. C. the cost of the baseball cards. D. he does not incur an opportunity cost.
In the model of the perfectly competitive firm, the firm's fixed costs are equal to its implicit costs of production
Indicate whether the statement is true or false
During the 1960s and 1970s, the U.S. trade balance was close to zero, but during the 1980s, the trade deficit ballooned to unprecedented levels due to:
A. a decline in national saving caused largely by rapidly rising government budget deficits. B. an inability of U.S. companies to compete in the international market. C. a worldwide recession that made it difficult for American companies to sell their products abroad. D. a decline in private saving that resulted from an upsurge in consumption.
A demand curve for The Steel Porcupines' concert tickets would show the:
A. number of tickets the box office is willing to sell at various prices. B. number of people who need tickets. C. quality of people who want to buy these concert tickets. D. number of tickets that people want to purchase at various prices.