Which of the following is excluded in the current account?
A. goods exports
B. goods imports
C. capital inflow and outflow
D. net unilateral transfers
Answer: C
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Refer to the graph below for a monopoly. Assuming this were a perfectly competitive market, then the price and quality would be shown at the point of intersection between the
a. MC and AR curves.
b. MC and MR curves.
c. ATC and AR curves.
d. MC and ATC curves.
If home prices rise far above the value of the homeowner's mortgage loan,
A. homeowners will be tempted to default on their mortgage loans. B. default risk faced by lenders tends to decrease. C. homeowners will have greater difficulty obtaining a home equity line of credit. D. default risk faced by lenders tends to increase.
Calculate the price of a $1,000 face value bond that offers a $45 annual coupon, and has six years to maturity, when the interest rate is 6.0% (0.060).
What will be an ideal response?
Refer to the above figure. Profits will be negative
A. when the price equals $2. B. when the price is below $2. C. when the price is above $2. D. only when the price equals $1.