The decision by the federal government to prohibit cigarette companies from advertising on television actually caused the companies' profits to increase, an outcome that is consistent with the prediction of the prisoner's dilemma game

A advantage of using swaps to hedge interest-rate risk is that swaps

A) are less costly than futures. B) can be written for long horizons. C) are not subject to default risk. D) are more liquid than futures.

If the interest rate goes up, what happens to the investment demand curve?

A) It shifts to the right. B) It shift to the left. C) It stays put. D) We cannot tell.