The equilibrium price in the money market is the:

A) inflation rate.
B) exchange rate.
C) interest rate.
D) none of the above.


C

Economics

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When stock prices fall significantly, people may feel less wealthy and thus decide to consume less of their current flow of disposable income. In our consumption function, this can be represented by a

A) fall in (Y - T). B) rise in T. C) rise in c. D) fall in a.

Economics

Advances in productivity per acre can harm farmers by

a. reducing the uses for their farm goods b. increasing the price of farm goods, thereby reducing incomes c. increasing supply, thereby reducing farm prices and incomes d. increasing the demand for their goods so that consumers are priced out of the market e. decreasing the number of acres cultivated per farm

Economics

If the cross-price elasticity of demand for two goods is -4.5, then

a. the two goods are substitutes. b. the two goods are complements. c. one of the goods is normal while the other good is inferior. d. one of the goods is a luxury while the other good is a necessity.

Economics

An option is a contract that always

A) gives the owner the right, but not the obligation, to buy shares of a stock at a specified price within the time limits of the contract. B) gives the owner the right, but not the obligation, to sell shares of a stock at a specified price within the time limits of the contract. C) states that the seller agrees to provide a particular good to the buyer on a specified future date at an agreed-upon price. D) gives the owner the right, but not the obligation, to buy or sell shares of a stock at a specified price within the time limits of the contract.

Economics