Dividends are
A) the portion of a corporation's profits that are distributed to stockholders.
B) the portion of a corporation's revenues that are distributed to bondholders.
C) bonuses given to managers of corporations, to ensure that the managers perform in the way that stockholders want.
D) taxes on the profits of corporations.
Answer: A
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Refer to Figure 3.2. The Nash equilibrium is where
A) Wilma plays North and Betty plays West. B) Wilma plays North and Betty plays East. C) Wilma plays South and Betty plays East. D) There is no Nash equilibrium in this game.
If a publishing company purchases faster computers to speed up word processing,
a. the marginal product of its editors will increase, which will shift the demand for editors to the right b. the marginal product of its editors will increase, which will shift the demand for editors to the left c. the wages of its editors will increase, which will shift the demand for editors to the right d. the wages of its editors will decrease, which will shift the demand for editors to the right e. the supply of editors will decrease
Automatic stabilizers will shift the government budget toward
a. a surplus during both expansions and contractions. b. a deficit during both expansions and contractions. c. a surplus during an expansion and a deficit during a contraction. d. a surplus during a contraction and a deficit during an expansion.
If a person uses money to buy a pair of shoes, money is functioning as
A) a unit of account. B) a store of value. C) a medium of exchange. D) none of the above