Since capital gains are only taxed when an investor sells an asset and realizes the gain, a possible result is:
A) the locked-in effect
B) double taxation
C) an increase in capital losses
D) limited liability
A
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Economic investment refers to ________.
A. buying a financial asset for a gain. B. selling a financial asset for a gain. C. making new additions to a firm's stock of capital. D. postponing purchases of goods and services.
One way to overcome the problem of time inconsistency is to
a. legislate policy rules. b. grant policymakers independence.. c. appoint policy makers with credibility. d. both a and c. e. all of the above.
The curve that represents all possible combinations of goods that can be produced is called
A) the production possibilities curve. B) the resource allocation curve. C) the efficiency curve. D) the supply curve.
Exhibit 8-12 Marginal revenue and cost per unit curves
As shown in Exhibit 8-12, the firm will shut down in the short-run at a price below:
A. OA. B. OB. C. OC. D. OD.