If the annual returns from an asset increase, the present value of the asset will
a. not be affected
b. decrease
c. increase
d. increase only if there is also an increase in the rate of interest
e. decrease only if there is also an increase in the rate of interest
C
Economics
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Recall the Application. If country A has a lower overall income tax rate than country B, and labor can freely and easily move between the two countries, real wages in country A will tend to ________ and employment in country A will tend to ________
A) increase; increase B) decrease; decrease C) increase; decrease D) decrease; increase
Economics
If 1 dollar is equal to 5 Swedish kroner, the dollar price of a kroner is
A. $.20. B. $1.20. C. $.50. D. $.05.
Economics