Refer to the information provided in Figure 2.5 below to answer the question(s) that follow.
Figure 2.5Refer to Figure 2.5. The economy is currently at Point A. The opportunity cost of moving from Point A to Point B is the
A. 30 LCD televisions that must be forgone to produce 60 additional OLED televisions.
B. 90 LCD televisions that must be forgone to produce 20 additional OLED televisions.
C. 30 LCD televisions that must be forgone to produce 20 additional OLED televisions.
D. 120 LCD televisions that must be forgone to produce 40 additional OLED televisions.
Answer: C
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Commercial paper is most commonly issued with a maturity of __________ days
A) 5 B) 10 C) 30 D) 270
The utility function with respect to wealth is negatively sloped for a risk averse person
Indicate whether the statement is true or false
In most derivations of the aggregate expenditures model, investment is assumed to be independent of real GDP. What would be the effect on the aggregate expenditures (AE) function if investment spending were positively related to income?
a. The intercept of the AE function would rise. b. The slope of the AE function would become flatter. c. Both the slope and the intercept of the AE function would increase. d. The slope of the AE function would become steeper. e. The intercept of the AE function would increase, and its slope would become flatter.
Chris received a consumer surplus of $50 when he purchased a watch for $100 . This implies he was willing to pay _____ for the watch
a. $215 b. $150 c. $100 d. $50