Suppose Joan uses her savings to purchase computer equipment for her new consulting business. Soon after this, the market interest rate rises. As a result, her
a. explicit costs rise immediately
b. accounting profit falls immediately
c. accounting profit rises immediately
d. economic profit rises immediately
e. economic profit falls immediately
E
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Hank goes to a Korean restaurant for the first time and he has no prior knowledge of Korean. He orders the Daenjang Chigae prepared medium hot and hopes for the best. Here an information __________ is __________ a market outcome.
A. symmetry; affecting B. symmetry; not affecting C. asymmetry; affecting D. asymmetry; not affecting
John wants to buy a new television set. He can either buy it in the US and pay $1200 or buy it in Canada and pay CAD$1300 . At the exchange rate of 1CA$=US$0.92, ignoring any other costs, he would
a. Prefer buying in the US b. Prefer buying in Canada c. Be indifferent about where he buys his television d. None of the above
An exception to weighting stocks by market cap is the Dow Jones Industrial Average, which uses the stock price relative to the sum of the prices of all the stocks in the index
a. True b. False Indicate whether the statement is true or false
The main determinant of elasticity of supply is the:
A. number of close substitutes for the product available to consumers. B. amount of time the producer has to adjust inputs in response to a price change. C. urgency of consumer wants for the product. D. number of uses for the product.