During the 1970s, the price/earnings ratio of stocks in the S&P 500 was relatively low. This low P/E ratio was
a. surprising because the inflation rate was high during the 1970s.
b. not surprising because interest rates were low during the inflationary 1970s.
c. not surprising because interest rates were high during the inflationary 1970s.
d. surprising because the inflation rate was low during the 1970s.
C
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Which of the following increases the demand for U.S. union labor?
A) an increase in the minimum wage B) an increase in the demand for imported goods C) new laws that ease immigration restrictions D) All of the above cause an increase in the demand for union labor.
When you buy previously issued shares of Twitter stock, this transaction takes place in the
A) primary market. B) bear market. C) bond market. D) secondary market.
When mark-up equals 50% and AC = MC, then demand elasticity will be
A) -1. B) -1.5. C) -2. D) -3.
In Keynes's view, an excess quantity of money supplied causes people to:
a. sell bonds and the interest rate rises. b. buy bonds and the interest rate falls. c. buy bonds and the interest rate rises. d. increase speculative balances.