Government deficits of one generation cannot affect the standard of living of the next generation

Which of the following are necessary conditions for successful price discrimination?

a. zero transactions costs b. a perfectly competitive market structure c. an imperfectly competitive market structure d. at least two different markets with different price elasticities of demand e. at least two different markets with different price elasticities of supply A) a, b, and d only B) c and d only C) a, c, d, and e only D) a and c only

If 1-year interest rates for the next five years are expected to be 4, 2, 5, 4, and 5 percent, and the 5-year term premium is 1 percent, than the 5-year bond rate will be

A) 2 percent. B) 3 percent. C) 4 percent. D) 5 percent.