The global financial crisis lead to a decline in stock prices because
A) of a lowered expected dividend growth rate.
B) of a lowered required return on investment in equity.
C) higher expected future stock prices.
D) higher current dividends.
A
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An in-kind transfer is a
A. transfer made by people to be kind to others. B. transfer of wealth. C. transfer of goods and services instead of cash. D. system of clearing checks by local banks.
One model in economics is the permanent income hypothesis, which basically states that a household's expenditures will not react to a change in income unless that change in income is viewed as being permanent
How would you use this model to predict the expenditure patterns over the course of a year of a real estate agent who only sells homes during the months of April through July?
The supply and demand for wheat is given by QS = 200 + .2A + p and QD = 500 - p, where p is the price of wheat and A is the amount of rainfall (inches per year). The effect of an incremental increase in rainfall on equilibrium will be
A) a decrease the price of wheat by 10¢. B) a decrease the price of wheat by 20¢. C) an increase in the price of wheat by 20¢. D) an increase in the price of wheat by 10¢.
A favorable balance of trade occurs when the
a. value of exports equals the value of imports b. balance of payments is balanced c. current and capital accounts in the balance of payments are equal d. value of exports exceeds the value of imports e. value of exports is less than the value of imports