When you buy a corporate bond, you are
A) borrowing funds from the corporation.
B) lending funds to the corporation.
C) selling an ownership right in the corporation.
D) acquiring an ownership right in the corporation.
E) b and d
B
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Over the past 90 years or so, the inflation rate has
a. generally increased b. been positive in most years c. stayed low d. been negative in most years e. dramatically increased
If the reserve requirement is 20 percent and the Fed buys $10,000 worth of Treasury bonds, what is the change in the banks' total reserves?
A) $2,000 B) $20,000 C) $8,000 D) $100,000 E) $10,000
A ____ total cost function yields a U-shaped average total cost function
a. cubic b. quadratic c. linear d. a and b only e. a, b, and c
When a rare skill contributes to the production of something that consumers value highly the:
A. value of the marginal product is high. B. marginal product is high. C. marginal cost per unit is low. D. total product is high.