Which of the following assigns widely followed bond ratings?
A. The Wall Street Journal
B. The Nasdaq
C. Moody's Investor Service
D. The Federal Reserve
Answer: C
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If the producer is at combination B as shown in Table 3-2, the opportunity cost of increasing corn production by 1 unit is
A. 29 units of cotton. B. 5 units of cotton. C. 12 units of cotton. D. 4 units of cotton. E. 1 unit of cotton.
Elastic demand implies
A) that a one percent increase in price results in a smaller than one percent decrease in quantity demanded. B) that a one percent increase in price results in a larger than one percent decrease in quantity demanded. C) that a one percent cut in price results in a larger than one percent increase in quantity demanded. D) that a one percent decrease or increase in price induces no change in total revenue.
Minimum-wage laws affect all workers
a. True b. False Indicate whether the statement is true or false
Leonard, Sheldon, Raj, and Penny each like science fiction moves. The price of a special boxed set of Star Trek DVDs is $50 . Leonard values the set of movies at $70, Sheldon at $65, Raj at $60, and Penny at $55 . Suppose that if the government taxes DVDs at $10 each, the price rises to $60 . A consequence of the tax is that consumer surplus shrinks by
a. $50 and tax revenues increase by $30, so there is a deadweight loss of $20. b. $35 and tax revenues increase by $30, so there is a deadweight loss of $5. c. $20 and tax revenues increase by $20, so there is no deadweight loss. d. $15 and tax revenues increase by $20, so there is no deadweight loss.