The cost of capital from different sources is called the weighted average cost of capital

An expansionary gap in the short-run results in: a. lower resource prices in the long run. b. unemployment in the long run

c. a recessionary gap in the long run. d. cost-push inflation in the long run. e. demand-pull inflation in the long run.

Which of the following can be classified as a highly specific asset?

a. A country's soldiers b. A wind turbine in an installation that produces "renewable" electricity c. A cattle farm d. A cruise ship