Historically, which of the following has had the highest average annual rate of return?
A) U.S. Treasury bonds
B) corporate bonds
C) money market mutual funds
D) corporate stocks
D) corporate stocks
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Holders of __________ bonds can exchange their bonds into shares of the company's common stock at a predetermined price
A) callable B) convertible C) investment grade D) junk
When a good has a unitary price elasticity, consumer expenditures for the good
A) change in the same direction as a price change. B) change in the opposite direction to a price change, but not necessarily by the same percentage as the price change. C) do not change when the price of the good decreases. D) change in the opposite direction and by the same percentage as any price change.
Aggregate demand shows the relationship between: a. price levels and the number of goods that consumers buy during a given period of time
b. goods that are not purchased during a given period of time and the wealth created during the given period of time. c. the amount of investment spending and the market interest rate of an economy. d. the price level and the quantity of all goods sellers are willing and able to provide during a given period of time.
If the demand for pizza increases, then as a result, it is highly likely that the demand for:
A. soda will increase. B. mozzarella cheese will increase. C. chicken nuggets will fall. D. All of these are a likely result.