Foreign direct investment is any investment made in a country by residents outside that country.
Answer the following statement true (T) or false (F)
True
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You are more likely to repair a leaky drainpipe yourself than hire a plumber if _____.
a. the tax rate on your earned income dramatically decreases. b. you need to purchase the specialized tools required to complete the repair work. c. you possess less knowledge and experience in plumbing repair work. d. doing the job yourself reduces the transaction costs. e. the opportunity cost of your time increases.
What will tend to happen to wages if workers and employers foresee inflation?
A. Both parties will seek to reduce nominal wages, and therefore keep real wages the same. B. Nominal wages will remain constant, but real wages will increase to avoid the effects of inflation. C. Inflation erodes purchasing power of workers, and real wages are unchanged. D. Nominal wages will increase by an amount that keeps real wages constant.
State three reasons for a potentially beneficial role of government intervention.
A. Creating barriers to entry to promote market efficiency. B. Providing public goods. C. Restraining trade so prices rise. D. Correcting informational problems. E. Generating a government failure to affect market pricing. F. Offsetting the incentive effect provided by wages. G. Correcting for negative or positive externalities.
Which of the following is a completely clean energy source?
A. coal B. nuclear C. solar D. none of these choices is correct