The price of a coupon bond and the yield to maturity are ________ related; that is, as the yield to maturity ________, the price of the bond ________
A) positively; rises; rises
B) negatively; falls; falls
C) positively; rises; falls
D) negatively; rises; falls
D
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If the price elasticity of demand for apples is greater than 1, an increase in apple prices will
A) raise total revenue. B) lower total revenue. C) not affect total revenue. D) either raise or lower total revenue, but it is impossible to determine which.
Which of the following exemplifies specific performance that a court might order from the party in breach of a contract?
a. A seller ordered to pay back the price of the commodity to the customer having failed to deliver it on-time. b. A popular singer requested to forgo the fee for her performance at a social fund raising program. c. The owner of a polluting factory ordered to convert his private plot into a public garden. d. A movie director ordered to work with an actress he had previously contracted with, instead of one he later found was available for a lower price.
If domestic income is rising,
a. exports will increase. b. demand for foreign currency will fall. c. imports will increase. d. imports will decrease.
If the MPC = 0.75, then the government purchases multiplier is about
a. 1.33. b. 7. c. 4. d. 3.