Steve takes $500 from his paycheck and uses it to purchase U.S. Savings Bonds. Based on this information:
A. Steve's wealth is unchanged.
B. Steve's saving has increased by $500.
C. Steve's saving has decreased by $500.
D. Steve has a capital gain of $500.
Answer: B
You might also like to view...
Under normal circumstances, the ratio of a country's export prices to its import prices should
a. increase as trade increases b. decrease as trade increases c. fluctuate as trade increases d. remain constant as trade increases e. none of the above
Which of the following best describes a typical business cycle?
A) Economic expansions are followed by economic contractions. B) Inflation is followed by unemployment. C) Trade surpluses are followed by trade deficits. D) Stagflation is followed by inflationary economic growth.
The p-value for a one-sided left-tail test is given by
A) Pr(Z - tact ) = ?(tact). B) Pr(Z < tact ) = ?(tact). C) Pr(Z < tact ) < 1.645. D) cannot be calculated, since probabilities must always be positive.
The output level that occurs in any market that is in equilibrium:
a. is the quantity where the supply curve intersects the y-axis. b. is the quantity where the demand curve intersects the x-axis. c. is the quantity at an output level where buyers will pay more than suppliers require. d. is an output level where buyers will not pay as much as suppliers require. e. is the quantity where the demand and supply curves intersect each other.