If a person completely smooths consumption over his lifetime, then consumption is best represented by which of the following?
A) wealth / the number of years the person expects to live
B) lifetime income / the number of years the person expects to work
C) (wealth + lifetime income) / the number of years the person expects to live
D) (wealth + lifetime income) / the number of years the person expects to work
C
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Economic rent is:
A. the difference between the payment made to the owner of a factor of production and the owner's reservation price. B. sometimes higher and sometimes lower than the owner's reservation price. C. the amount people pay for an apartment in a perfectly competitive market. D. the payment made to the owner of a factor of production, which is usually equal to the owner's reservation price.
Refer to the table above. If Jack has an annual income of $40,000, into which tax bracket does he fall?
A) 10% B) 15% C) 23% D) 30%
The political market place requires all EXCEPT
A) diplomats. B) firms. C) voters. D) politicians.
A bank is insolvent when
A) its liabilities exceed its assets. B) its assets exceed its liabilities. C) its capital exceeds its liabilities. D) its assets increase in value.