The type of security that is protected against inflation are:
A. Treasury bonds.
B. Treasury notes.
C. TIPS.
D. Treasury bills.
C. TIPS.
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Refer to Table 4-7. Suppose that the quantity of labor demanded decreases by 80,000 at each wage level. What are the new free market equilibrium hourly wage and the new equilibrium quantity of labor?
A) W = $8.50; Q = 550,000 B) W = $9.50; Q = 590,000 C) W = $12.50; Q = 630,000 D) W = $9.50; Q = 570,000
Refer to Table 2-16. What is Estonia's opportunity cost of producing one cell phone?
A) 0.2 board feet of lumber B) 5 board feet of lumber C) 8 board feet of lumber D) 32 board feet of lumber
The law of small numbers describes:
A) the tendency for people to overstate the probability associated with rare events. B) the ability to correctly estimate the expected outcome from a small number of events. C) the higher probability that small numbers (like 1, 2, and 3 ) occur in random samples relative to large number (like 8 or 9 ). D) the improved accuracy of averages to estimate relatively small numbers (on the order of 1 or 10 ) than relatively large numbers (on the order of 1,000 or 10,000 ).
The relevant market is defined as the set of goods whose
a. price elasticities of demand are low b. cross elasticities with other goods outside the set are high c. price elasticities of demand are high d. income elasticities of demand are high e. cross elasticities with other goods in the set are high