A $10,000 ten-year bond was issued at an interest rate of 6%. Carla is thinking about buying this bond one year before the end of the ten years, but interest rates are now 9%. What is the maximum amount that Carla should pay for this bond?
a. $9,174.31
b. $9,378.25
c. $8,982.43
d. $9, 764.20
a. $9,174.31
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Which of the following is not a criterion for an ideal voting system, according to economist Kenneth Arrow?
A. Unanimity B. No dictator C. Transitivity D. Fairness
Which of the following accurately describes the difference between an individual demand curve and a market demand curve?
a. A market demand curve focuses more on price than does an individual demand curve. b. A market demand curve focuses on a broader set of buyers than does an individual demand curve. c. A market demand curve focuses more on consumers than does an individual demand curve. d. A market demand curve focuses on a more specific area than does an individual demand curve.
Which of the following represents an action by the Federal Reserve that is designed to decrease the money supply?
A. buying government securities in the open market B. an increase in federal tax rates C. a decrease in the required reserve ratio D. an increase in the discount rate
The time it takes a change in economic policy to induce people and firms to change their behavior is the implementation lag.
Answer the following statement true (T) or false (F)