Stockholders are the owners of which type of business?
A) corporations B) sole proprietorships
C) partnerships D) all of the above
A
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If supply is perfectly inelastic and demand increases,
a. price falls and output rises. b. price rises and output falls. c. price rises and output remains unchanged. d. price rises and output rises.
Which of the following could be responsible for the depreciation of a country's currency?
A. The country expands its tourist industry. B. The country experiences a sudden drop in the rate of inflation while other nations do not. C. Speculators anticipate economic growth in that nation. D. The country defaults on bonds held by foreigners.
Unlike consumers and business firms, the public sector has no maximizing goals.
Answer the following statement true (T) or false (F)
The real business cycle theory
A. indicates that supply side shocks cause most business cycles. B. indicates that frequent fiscal policy actions cause most business cycles. C. indicates that demand side shocks cause most business cycles. D. indicates that unanticipated changes in the money supply cause most business cycles.