Other things the same, which bond would you expect to pay the highest interest rate?
a. a bond issued by the U.S. government
b. a bond issued by Microsoft Corporation
c. a bond issued by the state of Montana
d. a bond issued by a new chain of Brazilian-style restaurants
d
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The perpetual problem in economics is:
a. our inability to work together effectively. b. our inability to satisfy everyone's wants with the available resources. c. a recognition of continual class differences. d. our inability to utilize resources efficiently. e. likely to be solved in resource-rich countries.
If firms are exiting a market then
A) economic profits must be zero B) economic profits must be greater than zero C) economic profits must be less than zero D) both economic and accounting profits must be greater than zero.
Transfers of assets, such as stock sales are:
A. included in GDP because they increase domestic wealth. B. included in GDP because they raise domestic production. C. not included in GDP because they do not increase domestic wealth. D. not included in GDP because they do not increase domestic production.
Discuss the meaning of the statement: “Human history teaches us that economic growth springs from better recipes, not just more cooking.”
What will be an ideal response?