The longer one has to wait for a future payment, the greater the present value it has.
Answer the following statement true (T) or false (F)
False
The present discounted value of a future payment declines with either higher interest rates or longer delays in future payment.
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Mary is willing to pay $50 for a Christmas tree, John is willing to pay $45 and Jeff is willing to pay $40. The price of a tree is $40. The total consumer surplus for Mary, John and Jeff taken together is
A) $15. B) $135. C) $40. D) $95. E) $120.
The current Debt to GDP levels in the U.S.
A) is one of the lowest in world among large nations but expected to rise dramatically B) is at its highest point in U.S. history C) is over 100% which was reached previously only as a result of war D) is the highest among the high income nations
________ are one source of involuntary unemployment during recessions
A) Downwardly rigid wages B) Lower corporate tax rates C) Flexible wages D) Higher income tax rates
In a graphic relationship, shifts in a curve are caused by a change in:
a. the slope of the curve. b. a factor not measured on the axes of the graph. c. one of the factors measured on either axes of the graph. d. any factor, whether measured on the axes of the graph of not.