Which of the following is most liquid?
A) a mutual fund share
B) a government bond
C) a corporate bond
D) a dollar bill
Answer: D
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If the cost of capital decreases the isocost line will
A) stay the same. B) shift outward in parallel fashion. C) rotate outward around the point where only labor is employed in production. D) shift inward in parallel fashion.
The true cost of borrowing is the nominal interest rate
Indicate whether the statement is true or false
Refer to Figure 3.2, which shows David's and Celeste's individual supply curves for flower arrangements per week. Assuming David and Celeste are the only producers in the market, what is the market quantity supplied at a price of $30?
A. 200 B. 250 C. 300 D. 350
The ability of a central bank to set monetary policy instruments is
A) political independence. B) goal independence. C) policy independence. D) instrument independence.