Which of the following statements about the characteristics of debt and equity is FALSE?
A) They can both be long-term financial instruments.
B) They can both be short-term financial instruments.
C) They both involve a claim on the issuer's income.
D) They both enable a corporation to raise funds.
B
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Increased international trade reduces the demand for a country's products that are produced more efficiently abroad (import-competing products). This increase in trade ________ the demand for workers in import-competing industries, and ________ their wages.
A. decreases; increases B. increases; increases C. decreases; decreases D. increases; decreases
Wealth ________
A) may serve the monetary function of store of value B) means essentially the same as money C) differs from money in that wealth is more liquid D) is the flow that corresponds to the stock of income E) none of the above
The rate of adjustment between the long run and short run Phillips curve will be determined by
a. the rate of adjustment of price expectations. b. the rate of money growth. c. the level of wage flexibility in labor markets. d. both a and c. e. all of the above.
Refer to the above figure. If the farmer is growing 8,000 bushels of beans and 8,000 bushels of wheat, then we know that
A) the farmer is not using resources efficiently. B) the farmer is using more land for wheat than for beans. C) the farmer should increase the amount of wheat grown and reduce the amount of beans. D) the farmer cannot be using the amount of land that was used to construct the curve.