Trade should be allowed only if the net benefits are positive—that is, the benefits from trade are larger than the costs of trade
a. True
b. False
Indicate whether the statement is true or false
True
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Which of the following is not an example of informal institutions?
A) Culture B) Laws C) Ethics D) Norms.
Suppose a share of stock is expected to pay an annual dividend of $12 forever. At a discount rate of 9.4 percent, the share's market price should be
A) $12.77. B) $13.13. C) $112.80. D) $127.66.
According to the text, studies of 18th century colonial demographics indicate that, compared to Europe,
a. the birthrate in the colonies was lower. b. women in the colonies tended to marry later in life. c. the child mortality rate in the colonies was lower. d. average life expectancy for males in the colonies was lower. e. All of the above.
We can be sure that the equilibrium price will fall when: a. supply and demand both increase
b. supply and demand both decrease. c. supply increases and demand decreases. d. supply decreases and demand increases.