In general does international diversification benefit investors?
A) yes, because it allows them to diversify their risk across many countries
B) no, because it creates the additional problem of country risk
C) yes, because it enables much greater profits through arbitrage opportunities
D) no, because it subjects them to legal regulation in additional markets
A
You might also like to view...
Efficiency wages are ________
A) market clearing wages B) wages that are above the market-clearing level C) equal to the real wage rate minus the nominal wage rate D) equal to the nominal wage rate divided by some measure of the general price level
Exhibit 2-4 Production possibilities curve data A B C D E Capital goods 0 10 20 30 40 Consumer goods200 180 140 80 0 In Exhibit 2-4, choose the best production alternative if the only goal of the economy is investment.
A. A B. C C. E D. All production alternatives represent the same level of investment because all are efficient.
If the APS is .2, we save
A. 2 percent of our income. B. 8 percent of our income. C. 20 percent of our income. D. 80 percent of our income.
Assume a family that earns $20,000 pays $1,000 in income taxes, while a family that earns $40,000 pays $3,750 in income taxes. In this situation, the income tax system is
A. regressive. B. progressive. C. proportional. D. one of these but we cannot tell which one without more information.