Suppose you can earn 5 percent on your savings account if you deposit $500 in it. The inflation rate is 3 percent. The opportunity cost of holding the $500 as money is

A) $100. B) $525. C) $80. D) $30. E) $25.


E

Economics

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Refer to Table 18.1. The opportunity cost of a hat in Panama is

A) 1/2 of a glove. B) 3/4 of a glove. C) 4/3 gloves. D) 2 gloves.

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We go from personal income to personal disposable income by

A) subtracting undistributed profits. B) adding transfer payments. C) subtracting personal income taxes. D) subtracting depreciation. E) subtracting personal saving.

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Because employer-provided health insurance was too expensive, a major employer decided to self-insure and simply pay for medical bills itself rather than a premium to an insurance company. As a result

a. they are more likely to institute a wellness program for employees b. they are less likely to institute a wellness program for emp c. they are indifferent with regards wellness programs d. they will regret this decision

Economics

The largest component of GDP is:

a. personal consumption expenditures. b. government spending. c. durable goods. d. net exports. e. gross private domestic investment.

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