Investment equals inventory investment added to
A) business purchases of new capital goods.
B) purchases of new residential housing.
C) fixed investment.
D) business purchases of new capital goods and purchases of new residential housing.
E) either c or d
E
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Lizzie's budget line is shown in the figure above. Lizzie's real income in terms of magazines is ________ magazines
A) 5 B) 10 C) 15 D) 20
Terry wants to sell his car and the lowest price he is willing to accept is $3,000 . Alice likes the car and is willing to pay at most $4,000 for it. They begin to negotiate to arrive at a price. Which of the following statements will be true?
a. They are playing a zero-sum game. b. The higher the price they agree on, the greater the benefit to both. c. The longer they take to arrive at an agreed price, the lower the benefit to them. d. They are playing a positive-sum game where their benefits add up to $1,000.