The cost of owning a government bond is ________, and the benefit of owning one is ________.

A. interest earned; that it is not very liquid
B. that it is as liquid as cash; interest earned
C. that it is highly liquid;interest charged
D. interest charged; that it is not very liquid


Answer: B

Economics

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The practice of approving mortgages in order to sell them as mortgage-backed securities is known as ________

A) originate-to-distribute B) principal-agent engineering C) predatory lending D) a credit default swap

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Which of the following is an example of a one-time investment made by a seller to reduce the transaction cost on all units of output?

a. Providing customers a wide range of products b. Hiring a distribution agency c. Merging with its rival brand d. Creating a brand name which signals quality

Economics

When marginal cost is between average variable cost and average total cost, marginal cost is increasing.

Answer the following statement true (T) or false (F)

Economics

The optimal level of provision of ________ goods is where society's total willingness to pay per unit is equal to the marginal cost of producing the good.

A. normal B. private C. public D. all

Economics