Foreign portfolio investment is sometimes called hot money because:
A. it can be withdrawn from a country very quickly.
B. it is very difficult to trace.
C. it is often invested in the assets which yield the highest returns in the world.
D. earnings often go untaxed by the home government.
A. it can be withdrawn from a country very quickly.
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Since real GDP is adjusted for inflation and nominal GDP is not, nominal GDP must always be higher than real GDP. Do you agree or disagree? Why?
What will be an ideal response?
Refer to Table 3-3. The table above shows the demand schedules for Kona coffee of two individuals (Luke and Ravi) and the rest of the market. At a price of $6, the quantity demanded in the market would be
A) 36 lbs. B) 68 lbs. C) 89 lbs. D) 123 lbs.
Someone who values a lottery at less than the expected value is
a. a risk lover b. risk neutral c. risk averse d. one who tends to play lots of lotteries
An economic system
a. must answer the three economic questions to the satisfaction of everyone in society b. must not allow some members of society to gain an unfair advantage when answering the three economic questions c. must choose pure capitalism to adequately answer the three economic questions d. is a set of social institutions and mechanisms organized to answer the three economic questions e. can address problems of scarcity only by embracing the social institution of private property