If a company offers a consultant the following five alternatives, which should she choose?
a. to be paid $50,000 now
b. to be paid $30,000 now and $20,000 when the project in question is completed
c. to be paid $25,000 now and $25,000 when the project in question is completed
d. to be paid $10,000 now and $40,000 when the project in question is completed
e. to be paid $50,000 when the project in question is completed
A
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A positive externality exists when
A. a person's or group's actions cause a benefit that is felt by others. B. a person's or group's actions cause a cost that is felt by others. C. market output is less than socially optimal output. D. a and c E. b and c
What is a primary reason for the yield on 3-month Treasury bills being low during recessions?
A) low risk premium B) the Fed pushing short-term interest rates down C) rising inflation D) the inversion of the yield curve
The total multiplier of government expenditure is
A) zero. B) between zero and one. C) one. D) larger than one.
Since its inception in 1913, there have been many revisions to the income tax code.
A. True B. False C. Uncertain