Refer to the scenario above. Which of the following statements is true?
A) The discounted value of $3,400 to be received after five years is $3,000.
B) Tom's return from investing in his friend's project is higher than the amount received from the bank after five years.
C) Tom's return from investing in the bank is higher than the amount received from his friend's project after five years.
D) The returns on both investments are likely to be similar and Tom should be indifferent about investing in either options.
C
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In Econland total output is $8 billion, population equals 500,000 people, and, of these, 400,000 are employed workers. Output per person in Econland equals ________ and average labor productivity equals ________.
A. $20,000; $20,000 B. $16,000; $20,000 C. $20,000; $16,000 D. $16,000; $16,000
The highest unemployment rate in U.S. history was about
A) 10.2 percent in 2009. B) 5.9 percent in 1972. C) 10 percent in 1982. D) 25 percent in 1933. E) 52 percent in 1939.
One of the predictions of the HO model is that
A) countries with different factor endowments but similar technologies and preferences will have a strong basis for trade with each other. B) countries will tend to specialize, but not completely, in their comparative advantage good. C) reciprocal demand leads to an equilibrium terms of trade by inducing changes in both demand and supply. D) All of the above.
If a corporation earns a profit, dividends must be paid
Indicate whether the statement is true or false