When we draw an investment demand curve, we hold constant all of the following except:
A. the expected rate of return on the investment.
B. business taxes.
C. the interest rate.
D. the present stock of capital goods.
C. the interest rate.
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The income earned by the people who sell the services of the factor of production ________ is called ________
A) capital; rent B) entrepreneurship; wages C) land; profit D) entrepreneurship; profit
A decrease in the reserve ratio will
A) cause the money supply to decrease. B) cause the money supply to increase. C) not affect the money supply. D) decrease the money multiplier.
There are many different models of oligopoly because:
A. firms do not maximize profits in oligopolistic competition. B. beliefs play an important role in oligopolistic competition. C. oligopoly is the most complicated type of market structure. D. beliefs play an important role in oligopolistic competition and oligopoly is the most complicated type of market structure.
Efficiency is defined as
A) the maximum consumption of goods. B) the production of goods and services. C) the production of output at minimum cost. D) the most profits for companies.