The existence of a ________ means that the interest rate on a two-year bond will exceed the average interest rate on two successive one-year bonds
A) risky asset.
B) securitization premium.
C) term structure.
D) risk premium.
D
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If the rate of inflation in the United States exceeds the rate of inflation in Great Britain we would expect the U.S. dollar to depreciate in value against the British pound
Indicate whether the statement is true or false
The marginal private cost of a good or service is the cost borne by the producer
Indicate whether the statement is true or false
Nonactivists believe that ________
A) there is a very rapid self-correcting mechanism since prices and wages are very flexible B) lags to policy implementation are so long that even the "correct" policies may lead to undesirable consequences C) policy interventions should take place less frequently than what Keynesians advocate D) all of the above E) none of the above
The opportunity cost of watching television is:
a. all of the alternative programs that appear on other stations. b. zero because there is no money expenditure involved. c. the alternative use of the time foregone by watching the program. d. zero if it benefits you.