A call option is a contract
A. that gives the owner the right, but not the obligation, to buy shares of a stock at a specified price within the time limits of the contract.
B. that gives the owner the right, but not the obligation, to sell shares of a stock at a specified price within the time limits of the contract.
C. in which the seller agrees to provide a particular good to the buyer on a specified future date at an agreed-upon price.
D. that gives the owner the right, but not the obligation, to buy or sell shares of a stock at a specified price within the time limits of the contract.
Answer: A
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The Lucas critique is an attack on the usefulness of
A) conventional econometric models as forecasting tools. B) conventional econometric models as indicators of the potential impacts on the economy of particular policies. C) rational expectations models of macroeconomic activity. D) the relationship between the quantity theory of money and aggregate demand.
If it takes more dollars to acquire one unit of a foreign currency,
A) the quantity of U.S. good that the foreign country will by will decrease B) the foreign currency has depreciated. C) the dollar has depreciated. D) the dollar has appreciated.