Which of the following is an example of an investment?
a. A company placing cash reserves in a bank.
b. A company buying Yahoo shares.
c. A company augmenting its production capacity.
d. A company issuing bonus shares.
c
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If actual output increases are believed to be temporary, then
A) net investment will fall. B) net investment will increase. C) net investment will not change. D) the effect on net investment is unknown.
In sequential games,
a. Players take turns, and each player observes what his or her rival did before having to move b. Players take turns, but each player does not observe what his or her rival did before having to move c. Players move at the same time d. None of the above
Which of the following statements is NOT true?
A) Economics is a social science. B) Economics is an empirical science. C) Economics does not use theories. D) Economics is the study of how people allocate their limited resources to satisfy their unlimited wants.
The twin economic problems of the U.S. health care industry are the
A. rising health care costs and the declining quality of health care services. B. declining rate of immunization rates and the rising malpractice insurance costs. C. rising health care costs and the moral hazard problem in health care services. D. rising health care costs and the rising malpractice insurance costs.