The price of a stock will decrease, ceteris paribus, when
A. People move money out of the bond market and look for other options.
B. Terrorists cause people to be fearful.
C. Congress makes sound budget decisions.
D. Future earnings expectations increase.
Answer: B
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Which of the following factors important in determining our standard of living are not reflected in the Gross Domestic Product?
A. The value of leisure, the quality of our environment, improvements in products quality. B. The value of our imports and exports, the value of leisure. C. The value of our imports, the improvements in product quality.
Which of the following is not correct?
a. When developing economic theories, graphs offer a way to visually express ideas that might be less clear if described with equations or words. b. Graphs are one way of expressing the relationships among variables. c. When studying the relationship between two economic variables, graphs allow economists to draw indisputable conclusions about causes and effects. d. When analyzing economic data, graphs provide a powerful way of finding and interpreting patterns.
The typical monopolistic competitor
A. is a large firm. B. may be a drugstore, restaurant, gas station, or dry cleaner. C. never advertises. D. has a local monopoly.
Exhibit 1A-8 Straight line relationship
Which of the following would cause a shift in the relationship shown in Exhibit 1A-8?
A. A fall in household incomes. B. A fall in the price of pizza. C. A fall in the quantity of pizza that people wish to purchase. D. A rise in the price of pizza.