Which of the following is a TRUE statement relative to retained earnings and investment?
A) Lower interest rates stimulate borrowing for investment, but discourage the use of retained earnings for investment.
B) Lower interest rates reduce the opportunity cost of retained earnings, stimulating the use of these funds in investment.
C) Lower interest rates stimulate borrowing for investment, but have no effect on the use of retained earnings for investment spending.
D) Lower interest rates have no effect on investment spending at all because investment spending is autonomous.
B
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An efficiency wage is designed to ________ work effort and to ________ labor turnover
A) increase; raise B) decrease; raise C) not change; decrease D) increase; lower E) decrease; lower
It is estimated that less than 50% of American blacks have any white ancestry
Indicate whether the statement is true or false