Economic theory is necessary and extremely important because of its relationship to economic policy

Other things remaining unchanged, a decline in imports is associated with an increase in gross domestic product

a. True b. False Indicate whether the statement is true or false

If the interest rate at which you can lend funds is r percent per year, then the present value of Y dollars to be received next year is

a. (1 + r)Y b. Y / r c. Y d. Y - r e. Y / (1 + r)