Under the monetary growth rule proposed by the monetarists, the money supply would grow each year at a constant rate equal to the long-run rate of growth of
A) employment. B) inflation. C) interest rates. D) real GDP.
D
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The purpose of the restrictive debt covenant that prohibits borrowers from entering into certain types of leases is to
A. ensure a cash shortage does not cause an inability to meet current obligations. B. prevent liquidation of assets through large salary increases of key employees. C. protect the lender by controlling the risk and marketability of the borrower's security investments alternatives. D. limit the amount of fixed-payment obligations.
State and local income taxes should be deducted from federal income tax.
A. True B. False C. Uncertain
In the Heckscher-Ohlin model, countries are assumed to differ only in terms of their
A) factor endowments. B) tastes and preferences. C) available technologies. D) factor productivities. E) physical size.
What is the cumulative effect of a simultaneous increase in area income of 5 percent and a 10 percent increase in prices at Urban General?
a. Quantity demanded at Urban General falls by 4 percent. b. Quantity demanded at Urban General rises by 4 percent. c. Quantity demanded at Urban General rises by 1 percent. d. Quantity demanded at Urban General falls by 1 percent. e. Quantity demanded at Urban General does not change.