If you have a mortgage on your house at 6 percent and the inflation rate when the mortgage was acquired was 3 percent but has since increased and is now 8 percent per year; the current real interest rate is
A) -2 percent per year.
B) 8 percent per year.
C) 6 percent per year.
D) 0 percent per year.
E) 14 percent per year.
A
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One generally recognized positive effect of illegal immigrants is:
A. Lower costs of products and thus lower prices for consumers B. Higher demand for social services C. Reduced average wage rates for workers in some sectors D. Positive effects on national defense
We all know that the United States has the highest per capita health care spending in the world. Which country has the second highest?
a. Japan. b. Germany. c. Switzerland. d. Great Britain. e. France.
Which of the following is true?
a. Once the equilibrium price and output is reached, all the mutually beneficial trade opportunities between suppliers and demanders will have taken place, and the sum of consumer and producer surplus is maximized. b. The deadweight loss of a tax is the difference between the lost consumer and producer surplus and the tax revenue generated. c. Those goods that are heavily taxed often have a relatively inelastic demand curve in the short run, so that the burden falls mainly on the buyer, and the deadweight loss to society is smaller than if the demand curve was more elastic. d. All of the above are true.
When a non-discriminating monopolist is maximizing profit, then
a. its price equals its marginal cost b. its price equals its marginal revenue c. it is producing all units for which marginal revenue exceeds marginal cost d. its supply curve intersects the market demand curve e. its marginal cost curve intersects the market demand curve