Scalping is likely to appear when a price is set below equilibrium price by the seller.
Answer the following statement true (T) or false (F)
True
Scalpers will make a profit when they buy a product at a price below the equilibrium price and sell it at a higher price. So if a market price is set below equilibrium price, profit potential exists, which encourages scalping.
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When the expected real rate of interest declines, ceteris paribus, we expect:
a. more investment projects will be undertaken. b. lenders will need to lower their average default rate to maintain their profit margins. c. firms will borrow less and cut back on their investment projects. d. individuals will steer clear of equity markets.
Which of the following best represents economic growth?
A) an increase in nominal GDP B) an increase in real GDP C) an increase in the per capita nominal GDP D) an increase in the per capita real GDP