The yield to maturity for a one-year discount bond equals the increase in price over the year, divided by the
A) initial price.
B) face value.
C) interest rate.
D) coupon rate.
A
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A cost-saving innovation in a perfectly competitive industry will lead to:
A. economic profits for a few firms for a short time. B. economic profits for new firms. C. entry by new firms. D. a leftward shift of the industry supply curve.
What is meant by holding all else equal? How is this concept used when discussing movements along the demand curve? How is this concept used when discussing movements along the supply curve?
What will be an ideal response?
Refer to Table 22-4. In the table above, which countries are consistent with the predictions of the economic growth model?
A) Japan and Guatemala B) only Japan C) Botswana and Thailand D) all four countries
The SRAS would be vertical: a. if there was no profit effect
b. if there was no misperception effect. c. if there was no profit effect or misperception effect. d. under no conceivable set of circumstances.