Which would be considered an investment, according to economists?
A. The sale of a retail department store building by Sears to JCPenney.
B. The purchase of newly issued shares of stock in Dell.
C. The construction of a new plant by Ford.
D. Public transfer payments.
Answer: C
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Suppose that Argentina's dollar-denominated external assets and liabilities are $10 billion and $100 billion, respectively, and its Argentine peso-denominated external assets and liabilities are each 50 billion pesos (P). Suppose further that Argentina fixes its exchange rate at P1 = $US1. What is the peso value of Argentina's total external wealth?
A) -60 billion pesos B) -150 billion pesos C) -0 billion pesos D) -90 billion pesos
The best example of fiscal policy is ___.
A. the Fed lowering interest rates B. the government raising taxes
An individual decides to rent an apartment for $7,000 per month. The commuting time from this apartment to his office is 80 hours per month
If the individual's opportunity cost of time is $30 per hour, calculate the direct cost, indirect cost, and total cost per month she would incur if she rents the apartment.
How can we use the information from the table shown to compare the real value of the 1979 salary to that of the one earned in 2009?
A. You can see that the salary has increased from $43,265 to $170,844.
B. You need to put the 2009 salary into real 2009 terms to compare it to 1979.
C. You need to put both salaries into real dollars in the same year for comparison.
D. There is no real way to compare the two without more information.