The present value of a sum to be received in the future is greater
A. the greater the discount rate.
B. the greater the interest rate.
C. the greater the inflation rate.
D. the less the time period before receiving the sum.
Answer: D
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Salt, for example, as it is used in part of Ethiopia, is an example of
A) commodity money. B) commodity-backed paper currency. C) barter currency. D) fiat money.
After firm A producing one good acquired another firm B producing another good, it raised the prices for the bundle of goods. One can conclude that the goods were
a. substitutes b. complements c. not related d. None of the above
Many economists conclude that in-kind income programs have served to reduce levels of inequality significantly from the levels suggested by aggregate income statistics
a. True b. False Indicate whether the statement is true or false
If the government regulates the price that a natural monopolist can charge to be equal to the firm's average total cost, the firm will
a. earn zero profits. b. earn positive profits, causing other firms to enter the industry. c. earn negative profits, causing the firm to exit the industry. d. minimize costs in order to lower the price that it charges.