A change in the multiplier (k) will change the
A) slope of the IS curve.
B) slope and the position of the IS curve.
C) slope of the LM curve.
D) position of the LM curve.
B
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According to the above table, which assumes that opportunity costs of producing goods X and Y are constant, which of the following statements is TRUE?
A) Chen will be willing to produce only good X and trade units of that good to Holly as long as he receives more than 0.5 units of good Y from her in exchange. B) Holly will be willing to produce only good X and trade units of that good to Chen as long as she receives less than 2.5 units of good Y in exchange. C) Chen will be willing to produce only good Y and trade units of that good to Holly as long has he receives less than 2 units of good X from her in exchange. D) Holly will be willing to produce only good Y and trade units of that good to Chen as long as she receives less than 0.4 unit of good X in exchange.
Other things being equal, an increase in the workplace amenities, such as increased health care and more generous vacation options, would tend to shift the labor supply curve to the ____. a. left, increasing wages
b. right, increasing wages. c. left, decreasing wages. d. right, decreasing wages.
The marginal benefit of pollution abatement is graphically illustrated by
A. a vertical curve. B. a downward sloping curve. C. a horizontal curve. D. an upward sloping curve.
Answer the following statements true (T) or false (F)
1. You believe that a certain asset, like a business or shop, is going to be worth $100 million in five years. If the interest rate is 5%, then that asset will be worth $75 million today. 2. Other factors constant, if the interest rate is higher, the present value of a certain future amount will be smaller. 3. Joseph is considering purchasing a condo. He has the option of buying one in Midtown with a present value of $150,000 or one in downtown with a future value of $200,000. If the current market interest rate is 5 percent and he wants to buy the home with the highest future value in 5 years, he should buy the condo in downtown. 4. The current price of an asset is equal to the future value of its expected returns or income streams. 5. Stockholders of a company can benefit from either capital gains or dividends when the company is profitable