The opportunity cost of holding money is
A) the liquidity foregone.
B) the higher interest rates that can be earned by holding a bond fund.
C) the decrease in risk from holding money rather than a bond fund.
D) the liquidity gained by holding ready cash.
Ans: B) the higher interest rates that can be earned by holding a bond fund.
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The most prestigious stock market in the world is the
A) New York Stock Exchange. B) Chicago Mercantile Exchange. C) London Stock Exchange. D) Tokyo Stock Exchange.
Macroeconomics studies the behavior of individual decision makers while microeconomics studies the overall economy
a. True b. False
Mike and Tom debone chicken breasts for Ted's Chicken Co. Mike is new and can only debone 30 chicken breasts per hour by hand, while Tom's experience allows him to debone 60 chicken breasts per hour by hand. Ted buys one new machine that can debone 100 chicken breasts per hour. Both Mike and Tom work the same 40 hours per week, but one of them is assigned to operate the machine instead of deboning the chicken breasts by hand. To obtain maximum average hourly productivity, ________ is assigned to use the machine and their combined average hourly productivity as a team is ________ chicken breasts
A. Mike; 80 B. Mike; 65 C. Tom; 80 D. Tom; 65
According to economic theory, a monopolist would hire a lobbyist only if the expected marginal benefit of lobbying exceeded the marginal cost.
Answer the following statement true (T) or false (F)