The reduction in damages to the environment from changing output from QC to QE is
Consider the following graph of the market for chemical solvents, production of which damages a waterbody used for recreation.
a. EH b. DG c. DEHG d. DGH
c. DEHG
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The global financial crisis lead to a decline in stock prices because
A) of a lowered expected dividend growth rate. B) of a lowered required return on investment in equity. C) higher expected future stock prices. D) higher current dividends.
Loretta agrees to lend Ted $500,000 to buy computers for his consulting firm. They agree to a nominal interest rate of 8%. Both expect the inflation rate to be 2%
(a) Calculate the expected real interest rate. (b) If inflation turns out to be 3% over the life of the loan, what is the real interest rate? Who gains from unexpectedly high inflation, Loretta or Ted? (c) If inflation turns out to be 1% over the life of the loan, what is the real interest rate? Who gains from unexpectedly low inflation, Loretta or Ted?
Any transaction that leads to a payment by a country's residents or government is a(n)
A) debt. B) asset. C) deficit item. D) surplus item.
From 1980 to 2012, the black-white wage ratio for males in the United States
A. increased substantially from under 0.5 in 1980 to almost 1.0 in 2012. B. increased modestly from 0.7 in 1980 to about 0.8 in 2012. C. held constant at about 0.7. D. fell steadily from about 1.0 in 1980 to 0.5 in 2012. E. increased substantially from 0.4 in 1980 to over 0.8 in 2012.