The difference between a Euroloan interest rate and Eurodeposit interest rate is called
A) net interest rate.
B) the forward premium.
C) net profit rate.
D) the spread.
D
You might also like to view...
Addressing the natural rate of unemployment is
a. straightforward in theory but difficult in practice. b. straightforward in theory and in practice. c. difficult in theory and in practice. d. straightforward in practice but difficult in theory.
According to the Incentive Principle, people will be less likely to smoke if the government:
A. invests more money in cancer research. B. increases taxes on smoking-cessation devices such as nicotine patches. C. increases taxes on cigarettes, effectively raising the price. D. subsidizes hospitals treating lung disease.
Your grandfather tells you that he earned $7,000/year in his first job in 1961. You earn $35,000/year in your first job in 2018. You know that average prices have risen steadily since 1961. You earn
A) 5 times as much as your grandfather in terms of real income. B) more than 5 times as much as your grandfather in terms of real income. C) less than 5 times as much as your grandfather in terms of real income. D) less than 5 times as much as your grandfather in terms of nominal income.
A firm is operating such that the marginal product of labor is 48 and the marginal product of capital is 12. The firm is minimizing its costs only if
A. since capital is more productive than labor, the firm must be minimizing cost. B. the rental rate is one fourth the wage. C. the wage is one fourth the rental rate. D. Given this information the firm can't be minimizing cost under any circumstances.