Related to the Economics in Practice on p. 525: If the estate in the Chekhov play Uncle Vanya is earning 2 percent, the interest rate on suitable securities is 5 percent, and the securities are a better risk than the estate, a potential buyer should require the price of the estate be ________ until the equivalent return on the estate is ________.
A. lowered; 5 percent
B. lowered; greater than 5 percent
C. raised; greater than 5 percent
D. raised; 5 percent
Answer: B
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