Junk bonds are securities with

a. low risk and low yield.
b. high risk and high yield.
c. low risk and high yield.
d. high risk and low yield.


b. high risk and high yield.

Economics

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One motive for “battling the invisible hand” is

A. unhappiness about the prices that occur in free markets. B. envy toward those who apparently benefit from certain prices. C. a desire to have government “correct” some problems. D. an attempt to produce justice between buyers and sellers. E. All of these responses are correct.

Economics

The arrangements that individuals have with each other to exchange goods is known as

A) demand. B) supply. C) a market. D) complements.

Economics

When a firm's only variable input is labor, then the slope of the production function measures the

a. quantity of labor. b. quantity of output. c. total cost. d. marginal product of labor.

Economics

Suppose the economy is in a recessionary gap. In the absence of any policy intervention, the short-run aggregate supply curve will eventually shift:

A. down (to the right), causing the price level to fall and output to fall. B. down (to the right), causing the price level to fall and output to rise. C. up (to the left), causing the price level to fall and output to rise. D. down (to the right), causing the price level to rise and output to fall.

Economics