What leads thousands of profit seeking entrepreneurs to misread the signals of the market-price system?
A) Poor budget policy on behalf of government officials
B) The globalization of the world economy
C) An artificial lowering of interest rates
D) A poor knowledge of the basic principles of supply and demand
C
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A presidential candidate once famously said about a particular policy: "I voted for it before I voted against it." How might such a statement make sense in the context of sophisticated voting along agendas.
What will be an ideal response?
During the mid-2000s, the average price of a used car fell by nearly $500 and the quantity sold nation-wide decreased by several thousand each year. This set of results is a contradiction of the law of demand
Indicate whether the statement is true or false
If the final expressions in a present value equation used to calculate the price of a bond you are considering buying are "[$75 / (1 + .04)6] + [$2,500 / (1 + .04)6]," which of the following is correct?
A) The face value is $2,500, the interest rate you need is 6 percent, and the coupon will mature in 4 years. B) The face value is $2,500, the coupon is $75, and the coupon will mature in 4 years. C) The coupon is $75, the interest rate you need is 4 percent, and the coupon will mature in 6 years. D) The face value is $75, the interest rate you need is 1.04 percent, and the coupon will mature in 6 years.
A vertical line always has a slope of one
a. True b. False Indicate whether the statement is true or false