Trades between risk lovers and risk takers
a. Move assets to lower-value use
b. Move assets to higher value use
c. Create wealth
d. Both B&C
d
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From the highest percentage to the lowest percentage, the number of firms by business type in the United States is represented by which of the following?
A) corporations, sole proprietorships, partnerships B) corporations, partnerships, sole proprietorships C) sole proprietorships, partnerships, corporations D) sole proprietorships, corporations, partnerships
Which of the following is a primary objective of macroeconomic policy?
A) achieving a zero rate of unemployment B) achieving a zero rate of inflation C) stabilizing economic activity D) all of the above E) none of the above
Refer to Table 8.1. Assume the wage rate is $10 and the firm has $1,000 in unavoidable fixed cost. What is the variable cost of producing 45 units of output?
A. $30
B. $10
C. $450
D. $22.22
Most of the LDCs find it difficult to accumulate capital goods because
A. the terms of trade prohibit the inflow of private capital from the advanced nations. B. it is very difficult to restrict consumption in order to free resources for capital goods production. C. domestic monetary policies designed to achieve price stability result in low interest. D. investment is interest inelastic in LDCs.