The stock market showed a PE for Alibaba equal to 32. What does PE mean?
A) price-earnings ratio
B) profit-earnings ratio
C) perfect-earnings ratio
D) price-equity ratio
Answer: A
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Which of the following ideas is the most plausible?
a. Reducing a high tax rate is less likely to increase tax revenue than is reducing a low tax rate. b. Reducing a high tax rate is more likely to increase tax revenue than is reducing a low tax rate. c. Reducing a high tax rate will have the same effect on tax revenue as reducing a low tax rate. d. Reducing a tax rate can never increase tax revenue.
Private insurers are testing which of the following?
A. Bundled payments B. Accountable care organizations C. Medical homes D. All of the above
At harvest time the supply of wheat is perfectly inelastic. If the government taxes wheat at $1 a bushel, then
A) the seller pays the entire tax. B) the buyer pays the entire tax. C) the seller and the buyer split the tax evenly. D) the seller and the buyer split the tax but the seller pays more. E) no one pays the tax because the wheat must be harvested or it will go to waste.
The principle that "More is better" results in indifference curves
A) sloping down. B) not intersecting. C) reflecting greater preferences the further they are from the origin. D) All of the above.