You are a hotel manager considering four projects that yield different payoffs, depending upon whether there is an economic boom or a recession. The potential payoffs and corresponding payoffs are summarized in the following table.ProjectBoom (50%)Recession (50%)A$40-$20B-$10$30C$50-$50D$60$60Which of the following statements is true?
A. A risk-neutral manager will prefer project D.
B. A risk-loving manager will prefer project D.
C. A risk-averse manager will prefer project D.
D. All of the statements are correct.
Answer: D
Economics
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If the number of unemployed equals 10,000, the number of employed equals 70,000, and the number not in the labor force is 20,000, the labor-force participation rate is
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