If the net present value is positive, the present value of the investment's stream of future operating profits is ________ than the present value of its cost and profit-maximizing managers ________ make the investment.

A) less; should not
B) less; should
C) greater; should
D) greater; should not


C) greater; should

Economics

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Refer to the figure above. The region ABC shows the ________ due to the price ceiling

A) gain in consumer surplus B) gain in producer surplus C) deadweight loss D) economic loss

Economics

The best economic case one can make for an active industrial policy involves

A) the national security argument. B) the technological spillover argument. C) the environment preservation argument. D) the high value added argument. E) raising the national income.

Economics

The IS curve is Y = 20 - 1.5r, and the aggregate demand curve is Y = 15.5 - 0.3?. The monetary policy curve is ________

A) r = 4.5 - 1.8? B) r = 20 + 0.3? C) r = 3 + 0.2? D) Y = 17.75 + 0.6? E) none of the above

Economics

We say that goods are substitutes when they:

A. change a consumer's preferences for a good or service. B. can replace something consumers typically purchase at a significantly lower price. C. are consumed together, so that purchasing one will make a consumer more likely to purchase the other. D. serve similar-enough purposes that a consumer might purchase one in place of the other.

Economics