MULTIPLE CHOICE please answer all q a. b. c. d. carrots grown in your garden and

Question

MULTIPLE CHOICE please answer all q

a. b. c. d. carrots grown in your garden and eaten by your family carrots purchased at a farmer's market and eaten by your family carrots purchased at a grocery store and eaten by your family None of the above are included in GDP 2. When computing the cost of the basket of goods and services purchased by a typical consumer, which of the following changes from year to year? a. the quantities of the goods and services purchased b. the prices of the goods and services c. the goods and services making up the basket d. All of the above are correct. 3. The key determinant of the standard of living in a country is the amount of goods and services produced from each hour of a worker's time. b. the total amount of goods and services produced within the country c. the total amount of its physical capital. d. its growth rate of real GDP 4. We associate the term debt finance with a. b. c. the bond market, and we associate the term equity finance with the stock market. the stock market, and we associate the term equity finance with the bond market. financial intermediaries, and we associate the term equity finance with financial markets. d. financial markets, and we associate the term equity finance with financial intermediaries. 5. Which of the following both make the interest rate on a bond higher than otherwise? a. the interest it pays is taxed and it was issued by a financially strong corporation b. the interest it pays is taxed and it was issued by a financially weak corporation c. the interest it pays is tax exempt and it was issued by a financially strong corporation d. the interest it pays is tax exempt and it was issued by a financially weak corporation 6. According to the rule of 70, if the interest rate is 5 percent, how long will it take for the value of a savings account to double? a. about 3.5 years b. about 6.3 years c. about 12 years d. about 14 years 7. Edgar is working part-time. Diane is on temporary layoff. Who is included in the Bureau of Labor Statistics' "employed" category? a. only Edgar 38

Explanation / Answer

Answer:- when computing the cost of the basket of goods and services purchased by a typical consumer, which of the following changes from year to year?

Correct Answer:- the prices of goods and services

Answer:- We associate the term debt finance with

Correct Answer:- the bond market, and we associate the term equity finance with the stock market.

Answer:- Which of the following both make the interest rate on a bond higher than otherwise?

Correct Answer:- the interest it pays is taxed and it was issued by a financially weak corporation

Answer:- According to the rule of 70, if the interest rate is 5 percent, about how long will it take for the value of a savings account to double?

Correct Answer:- about 14 years

Reason:- Double in every 70/x year = 70/5 = 14

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