The existence of a ________ means that the interest rate on a two-year bond will exceed the average interest rate on two successive one-year bonds.
A. risky asset.
B. term structure.
C. risk premium.
D. securitization premium.
Answer: C
Economics
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In the table above, points A through F represent _______________________ of resources.
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How many countries are in the EU as of January 1, 2014?
A) 9 B) 15 C) 17 D) 18 E) 25
Economics
The idea that anticipated monetary policy changes cannot affect real GDP or employment is known as
A) the systematic policy hypothesis. B) the policy irrelevance theorem. C) the policy relevance theorem. D) the Keynesian hypothesis.
Economics
Suppose a perfectly competitive firm faces the following short-run cost and revenue conditions: ATC = $700; AVC = $500; MC = $600; MR = $600. The firm should
A) increase output. B) decrease output. C) continue to produce its current output. D) shut down.
Economics