Is it possible for an investor to allocate more than 100% of their assets to the stock market?
A) No, this is not theoretically plausible.
B) No, federal law prohibits this kind of investment.
C) Yes, investors can borrow money to buy stocks on margin.
D) none of the above
C
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Price elasticity of demand is defined as
A) the percentage change in the quantity demanded of some product resulting from a one percent change in price. B) the percentage change in the quantity demanded of some product resulting from a change in price. C) the change in quantity demanded resulting from a one percent change in price. D) the change in quantity demanded resulting from a change in price.
Which of the following market structures will have higher prices in the long run than perfect competition, ceteris paribus?
A. Oligopoly and monopoly, but not monopolistic competition. B. Monopolistic competition and monopoly, but not oligopoly. C. Monopoly, but not oligopoly or monopolistic competition. D. Monopolistic competition, monopoly, and oligopoly.