The effect of a change in price on the quantity bought when the consumer remains indifferent between the original and the new situation is called the
A) income effect.
B) indifference effect.
C) substitution effect.
D) demand effect.
C
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If 11 workers can produce 53 units of output while 12 workers can produce 56 units of output, what is the marginal product of the 12th worker?
A) 0.16 B) 3 C) 4.67 D) 36
From the end of the World War II, the debt-GDP ratio in the United States fell almost without interruption to a low point in ________, which marked the beginning of a long-run climb
A) 1955 B) 1962 C) 1974 D) 1984 E) 1990
Exhibit 4-2 Supply and demand curves
The market shown in Exhibit 4-2 is initially in equilibrium at E3. Changes in market conditions result in a new equilibrium at E4. This change is stated as a(n):
A. increase in demand and an increase in supply. B. decrease in demand and a decrease in quantity supplied. C. increase in supply and an increase in quantity demanded. D. decrease in supply and a decrease in quantity demanded.
Which of the following is not a reason why the yield to maturity can differ from the current yield?
A. Because the yield to maturity considers the capital gain/loss. B. Because the current yield moves in the opposite direction from price. C. Because the current yield focuses only on the coupon payment and the purchase price. D. Because most bonds are not purchased for face value.