For a given real interest rate, an increase in the inflation rate reduces the after-tax real interest rate
a. True
b. False
Indicate whether the statement is true or false
True
You might also like to view...
If there are open first-class seats available on a particular flight, some airlines allow customers with coach (discount) tickets to upgrade to first-class tickets during the electronic check-in process
Suppose the regular price of a first-class ticket is $800, the total price of the upgrade ticket (original price plus the upgrade) is $400, the marginal cost of serving both types of customers (full-fare and upgrade first-class flyers) is $100, and the airline maximizes profits. Which of the following statements is true? A) MR for the full-fare customers must be higher than the MR from upgrade customers. B) MR for the full-fare customers may be higher or lower than the MR from upgrades. C) MR = MC for the full-fare customers, but the airline is willing to collect any positive amount from the upgrade customers. D) MR must be the same for both full-fare and upgrade customers.
According to the text, the real source of power in the modern corporation lies with the
a. stockholders b. bondholders c. board of directors d. bankers e. managers
Monopolies are always large firms with great economies of scale
a. True b. False Indicate whether the statement is true or false
At any quantity, the marginal factor cost is always
A) parallel to the marginal revenue product. B) below the labor supply curve. C) above the labor supply curve. D) above the labor demand curve.