Which of the following outstanding debts should Jillian pay off first?
A) A three year loan of $5,000 at 0 percent a year from her mom.
B) A $2,000 debt on a credit card charging 18 percent annually.
C) A home equity loan of $10,000, which has an effective rate of 6 percent after her tax advantages are taken into account.
D) A student loan of $40,000 with a fixed rate of 4 percent.
B) A $2,000 debt on a credit card charging 18 percent annually.
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What is a TRUE statement concerning the imposition in the U.S. of a tariff on cheese?
A) It lowers the price of cheese domestically. B) It raises the price of cheese internationally. C) It raises revenue for the government. D) It will always result in retaliation from abroad. E) it leads to higher domestic demand for cheese.
Discounting allows comparisons of
A. money values and physical values. B. interest payments on borrowed funds and interest payments on loaned funds. C. money values received at different times. D. the quantities of outputs produced by different types of capital goods.
Economic systems should only be judged on efficiency.
Answer the following statement true (T) or false (F)
A person should consume more of something when its marginal
A. cost exceeds its marginal benefit. B. benefit is positive. C. benefit exceeds its marginal cost. D. cost equals its net marginal benefit.