The ABC Corporation earned a real rate return of 4.5 percent on an investment. In the economy, the nominal rate of interest was 6 percent and the rate of inflation was 3 percent. We can conclude that

A) the investment was unprofitable.
B) the investment was profitable.
C) the real rate of interest was 9 percent.
D) the real rate of interest was 1.5 percent.


B

Economics

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A change in demand for a resource can be caused by

a. proportion of economic rent in the total earnings of the resource b. opportunity cost of the resource c. price of the resource d. a change in the number of firms producing the final product e. ease with which resources can be put to alternative uses

Economics

In the market for eggs, a removal of the price ceiling on eggs results in:

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A perfectly competitive industry is in long-run equilibrium. If demand for the product decreases, we can expect the price of the good to:

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Economics