Empirical evidence indicates that security returns have
A) greater probability of exceeding expected value yields.
B) greater probability of yielding below expected value returns.
C) a symmetrical probability distribution.
D) a probability distribution that cannot be measured.
C
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The marginal revenue product of labor is
a. how much labor can be purchased with the revenue from the sale of one more unit of the good b. how much the marginal revenue changes when you add more labor c. the same as the marginal revenue product of capital when the markets for labor and capital are in equilibrium d. determined by the wage rate e. the contribution to total revenue made by the marginal laborer
In which case, if any, will inflation remain higher after a temporary adverse supply shock?
a. both when the central bank maintains a higher money supply growth rate and when the central bank does nothing b. only if the central bank does nothing c. only if the central bank maintains a higher money supply growth rate d. None of the above is correct. Whether the central bank maintains a higher money supply growth rate or not, the inflation rate will return to its original level.