The __________ is equal to the current stock price minus the option exercise price
A) settlement price
B) discount price
C) intrinsic value
D) mark-to-market settlement
C
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A cable company can add a subscriber for ________ and a market failure occurs because the price charged ________
A) nearly zero marginal cost; exceeds marginal cost B) less than average cost; reduces consumer surplus C) nearly zero marginal cost; is extortionist D) average variable cost; increases producer surplus
Suppose labor demand can be described as ED = 120,000 ? 1.5w where w is yearly salary. How many more workers are demanded at a going wage of $60,000?
A. 50,000 B. 30,000 C. 20,000 D. 60,000 E. 40,000
Jack was unemployed two weeks ago but just started a new job. As a result of this increase in the number of employed workers, which of the following occurred?
A) The labor force participation rate increased. B) The unemployment rate increased. C) The labor force participation rate decreased. D) The unemployment rate decreased.
It is because firms consciously try to balance social costs and benefits that efficiency conditions of perfect competition come about.
Answer the following statement true (T) or false (F)