Investment in human capital
A) is quite different from and has a much lower return than investment in physical capital.
B) is just like investment in physical capital and has a return similar to that earned from other investments.
C) is just like investment in physical capital but has a much greater return than do other investments.
D) is not comparable to other investments in any way since human capital is embodied in the person.
Answer: B
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For the use of their capital in production, owners receive
a. wages. b. rent. c. interest. d. profit.
A one-year discount bond has a face value of $1000 and price of $880. What is the yield to maturity on the bond? Report using percentages with two decimal places
What will be an ideal response?
An increase in the price of ice cream is likely to cause:
A. a movement to the left along the demand curve for ice cream. B. an inward shift of the demand curve for ice cream. C. an outward shift of the demand curve for ice cream. D. a movement to the right along the demand curve for ice cream.
Charisse is of the opinion that the interest rate depends on the economy's saving propensities and investment opportunities. Most economists would say that Charisse's opinion is
a. Keynesian in nature, and that her view is more valid for the long run than for the short run. b. classical in nature, and that her view is more valid for the long run than for the short run. c. Keynesian in nature, and that her view is more valid for the short run than for the long run. d. classical in nature, and that her view is more valid for the short run than for the long run.