Which would you rather have? a) $100, 8 years from now at a 2% interest or b) $100, 2 years if the interest rate is 8%.
What will be an ideal response?
a) $85.35 b) $85.73
The present value of b) is greater than the present value of a).
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If your tuition is $5,000 this semester, your books cost $600, you can only work 20 rather than 40 hours per week during the 15 weeks you are taking classes and you make $15 per hour, and your room and board is $3,000 this semester (same as if not attending college), then your opportunity cost of attending college this semester is
A. $5,600. B. $5,900. C. $10,100. D. $11,600.
Demand-side market failures refer to those situations when there is a shortage in the market because buyers want to buy more than what is available in the market.
a. true b. false
Optimistic investors tend to ________ their investment spending
A) increase B) not change C) defer D) reduce
The figure above shows the production possibilities frontiers for the United Kingdom and France. If the United Kingdom and France specialize and engage in trade, the United Kingdom will produce ________ and France will produce ________
A) wheat; wheat B) wheat; fish C) fish; wheat D) fish; fish E) both wheat and fish; both wheat and fish