Traditional Keynesian economics assumes that prices are relatively flexible in response to changes in aggregate expenditures

________ indicates whether a country is a net borrower from or lender to the rest of the world

A) The basic balance B) The liquidity balance C) The capital account D) The current account

A firm's most recent annual dividend was $2 per share; its shares sell for $40 in the stock market, and the company expects its dividend to grow at a constant rate of 5% in the foreseeable future

Using the dividend growth (Gordon) model, what would you estimate its equity cost of capital to be?