A $1.00 change in the value of stocks changes consumption and investment by about
A. $1.10.
B. $1.00.
C. $.10.
D. $.04.
Answer: D
You might also like to view...
Very few societies have used price controls.
Answer the following statement true (T) or false (F)
Pick the true statement, regarding the notion of competition as a process versus the model of perfect competition
A) The process notion allows for full and complete information; perfect competition doesn't. B) The process notion allows for price taking activity; perfect competition doesn't. C) The process notion allows for identical products; perfect competition doesn't. D) The process notion allows for a small number of participants; perfect competition doesn't. E) All of the above are true.
If a 1 percent increase in price leads to a .7 percent increase in quantity supplied, the short-run supply curve is:
a. elastic. b. inelastic. c. unit elastic. d. perfectly inelastic.
Suppose we were analyzing the pound per Swiss franc foreign exchange market. If Switzerland's price level rise relative to England and nothing else changes, then the: a. The supply of Swiss francs in the foreign exchange market falls, and the demand for Swiss francs in the foreign exchange market falls, causing an uncertain change in the value of the Swiss franc
b. The supply of Swiss francs in the foreign exchange market rises, and the demand for Swiss francs in the foreign exchange market falls, causing an appreciation of the Swiss franc. c. The supply of Swiss francs in the foreign exchange market rises, and the demand for Swiss francs in the foreign exchange market rises, causing an uncertain change in the value of the Swiss franc. d. The supply of Swiss francs in the foreign exchange market rises, and the demand for Swiss francs in the foreign exchange market falls, causing a depreciation of the Swiss franc. e. The supply of Swiss francs in the foreign exchange market falls, and the demand for Swiss francs in the foreign exchange market rises, causing an appreciation of the Swiss franc.