Financial institutions search for ________ has resulted in many financial innovations. A) higher profits B) regulations C) respect D) higher risk ANSWER A
Date: September 10th, 2020
Perfectly competitive firms are said to be “small.” Which of the following best describes this smallness? A) The individual firm must have fewer than 10 employees. B) The individual firm faces a downward-sloping demand curve. C) The individual firm has assets of less than $2 million. D) The individual firm is unable to affect market […]
Date: September 10th, 2020
Third-degree price discrimination refers to situation in which: A) a firm charges different prices for different blocks of output. B) a firm separates markets according to the price elasticity of demand. C) a firm is able to charge the maximum price consumers are willing to pay for each unit of output. D) a firm divides […]
Date: September 10th, 2020
A decrease in the demand for dollars on the foreign exchange market, all else equal, will result in: A) appreciation of the U.S. dollar and depreciation of the foreign currency. B) appreciation of the U.S. dollar and appreciation of the foreign currency. C) depreciation of the U.S. dollar and depreciation of the foreign currency. D) […]
Date: September 10th, 2020
Any supplement to consumer spending that increases domestic aggregate output and income is called a leakage. Indicate whether the statement is true or false ANSWER FALSE
Date: September 10th, 2020
Changes in domestic and foreign income result in: A) movements along the demand and supply curves of the foreign exchange market. B) shifts in the demand and supply curves of the foreign exchange market. C) all of the above. D) none of the above. ANSWER B
Date: September 10th, 2020
The situation in which a firm charges different prices for different blocks of output is referred to as: A) first-degree price discrimination. B) second-degree price discrimination. C) third-degree price discrimination. D) fourth-degree price discrimination. ANSWER B
Date: September 10th, 2020
A decrease in the incomes of people who buy canoes would cause the demand for canoes to decrease. Indicate whether the statement is true or false ANSWER TRUE
Date: September 10th, 2020
The equilibrium level of income and output is that level of income where the desired spending by all sectors of the economy equals the value of output produced and the income received from production. Indicate whether the statement is true or false ANSWER TRUE
Date: September 10th, 2020
The least squares regression is based on: A) maximizing the absolute sum of squares errors. B) minimizing the absolute sum of squares errors. C) maximizing the sum of squared errors. D) minimizing the sum of squared errors. ANSWER D
Date: September 10th, 2020
