A ________ is owned by its stockholders
A) sole proprietorship
B) corporation
C) partnership
D) All of the above are correct.
Answer: B
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How does the text distinguish between government and the market?
A) The government is the place around the capital city; the market is everywhere else. B) The government is populated with publicly-spirited people; the market is populated with selfish people. C) The government is based on cooperation; the market is based on competition. D) In all of the above ways. E) In none of the above ways.
A decrease in the domestic interest rate causes the demand for domestic assets to ________ and the domestic currency to ________, everything else held constant
A) increase; appreciate B) increase; depreciate C) decrease; appreciate D) decrease; depreciate
If expected inflation is constant and the nominal interest rate increases by 3.5 percentage points, then the real interest rate
a. increases by 3.5 percentage points. b. increases, but by less than 3.5 percentage points. c. decreases, but by less than 3.5 percentage points. d. decreases by 3.5 percentage points.
The short-run aggregate supply curve is _____ when the economy has substantial excess capacity.
a. steep b. flat c. downward slanting d. upward slanting