If a 10-year Treasury bond pays 1.5% and a 10-year corporate bond pays 4.4%, then the spread on this particular corporate bond is 5.9%
a. True
b. False
Indicate whether the statement is true or false
False
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To maximize its profit, a firm will hire more workers as long as
A) marginal revenue exceeds the wage rate. B) marginal revenue is less than the wage rate. C) value of marginal product exceeds the wage rate. D) marginal product exceeds the wage rate.
What is meant by diminishing marginal benefits? Are you likely to experience diminishing marginal benefits for goods that you like a lot? Are there exceptions to the general rule of diminishing marginal benefits? (Hint: think about batteries that you
would use in a flashlight that requires two batteries.) Explain your answer.
An educated populace contributes to economic growth because
A) schools provide many jobs for teachers. B) education allows workers to develop skills that increase their productive capabilities. C) educated people are more likely to live in poverty. D) educated people understand the importance of protectionism.
Perfect competition is the only market structure in which firms are economically efficient in the long run
a. True b. False Indicate whether the statement is true or false