The nominal interest rate minus the real interest rate approximately equals the
A) rate of increase in the amount of investment.
B) inflation rate.
C) rate of increase in the income.
D) rate the bank receives to cover lending costs.
B
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Suppose Bev's Bags makes two kinds of handbags-large and small. Bev rents an industrial space where she keeps the fabric, the industrial sewing machine, her measuring board and cutting shears, extra needles, thread and buttons, and labels. Bev can produce three bags an hour, regardless of the size of bag. Which of the following would be considered a fixed cost of this company?
A. The rent Bev pays B. The fabric C. The sewing thread D. None of these would be considered a fixed cost.
Other things equal, advances in technology make resources more productive
a. True b. False Indicate whether the statement is true or false
Which of the following helps determine the growth rate of potential GDP? I. capital accumulation II. technology advances III. growth in the quantity of money
A) I B) I and II C) I and III D) I, II and III
To avoid paying U.S. taxes from income made in other countries, many U.S. companies are ____ outside the USA, but ___ inside the USA.
A) cash-poor; cash-rich B) cash-rich; cash-poor C) unincorporated; incorporated D) cash-poor; incorporated E) unincorporated; cash-rich