The present value of a sum to be received in the future is greater
A) the greater the interest rate.
B) the less the time period before receiving the sum.
C) the greater the inflation rate.
D) the greater the discount rate.
B
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The above figure shows the market for pizza. Which figure shows the effect of an increase in the price of a complement such as soda?
A) Figure A B) Figure B C) Figure C D) Figure D
Assume the United States can use a given amount of its resources to produce either 20 airplanes or 8 automobiles and Japan can employ the same amount of its resources to produce either 20 airplanes or 10 automobiles. The U.S. should specialize in:
a. airplanes. b. automobiles. c. both goods. d. neither good.
In a long-run monopolistically competitive equilibrium
A) P = ATC, and ATC is not at its minimum value. B) P = ATC, and ATC is at its minimum value. C) P > ATC, and ATC is at its minimum value. D) P > ATC, and ATC is not at its minimum value.
You are given information on the consumer price index (CPI), where the values given are those for December 31 of each year.
In which year was the inflation rate the highest?
A. 2006 B. 2009 C. 2007 D. 2008