Planned investment is inversely related to the interest rate because the higher the interest rate, the higher the rate of return on investment projects
a. True
b. False
Indicate whether the statement is true or false
False
You might also like to view...
Refer to the above table. The market quantity supplied when the price is $7 is
A) 0. B) 20. C) 29. D) 38.
When regulating a natural monopoly, average cost pricing is usually used rather than marginal cost pricing because
A. average cost pricing leads to a lower market price than marginal cost pricing. B. average cost pricing leads to lower profits than marginal cost pricing. C. average cost pricing allows the firm to earn a normal rate of return on investment, while marginal cost pricing leads to economic losses. D. average cost pricing is more economically efficient than marginal cost pricing.
Most economists believe price ceilings ______________
A. do more harm than good. B. have no impact on the market. C. do more good than harm. D. are necessary to protect consumers.
Answer the next question based on the following price and output data over a five-year period for an economy that produces only one good. Assume that year 2 is the base year. YearUnits of OutputPrice per Unit18$22103315441855206If year 2 is the base year, the Consumer Price Index for year 2 is
A. 50. B. 67. C. 150. D. 100.