Which of these forms of financing requires the smallest minimum size of the borrower?
A) short-term commercial bank loans
B) commercial paper
C) mezzanine funds
D) venture capital funds
A
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The first example used to explain comparative advantage used two countries (England and Portugal) and two goods (wine and cloth) to show that
A) each country would be better off from trade if it had an absolute advantage in producing one of the goods. B) each country would have a comparative advantage in the production of the good for which it had an absolute advantage. C) mutually beneficial trade was possible between two countries even if one had a comparative advantage in the production of both goods. D) mutually beneficial trade was possible between two countries even if one had an absolute advantage in the production of both goods.
Refer to Table 10-2. Suppose Keira's income increases from $18 to $23 but prices have not changed. What is her utility maximizing bundle now?
A) 5 cups of soup and 4 sandwiches B) 5 cups of soup and 5 sandwiches C) 6 cups of soup and 5 sandwiches D) 4 cups of soup and 5 sandwiches
Which of the following can be an outcome of a budget deficit?
a. Outflow of foreign financial capital b. Weaker exchange rate c. Trade deficit d. Trade surplus
Exhibit 1A-1 Straight line
In Exhibit 1A-1, the slope of straight line AB is:
A. positive. B. zero. C. negative. D. variable.