What is a normal rate of return?

What will be an ideal response?

A normal rate of return is the amount that must be paid by an investor to induce investment in a business. It is the opportunity cost of capital.

Economics

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The ________ is defined as the ratio of the dollar price of a basket of goods and services in the U.S., divided by the dollar price of the same basket of goods and services in a foreign county

A) real exchange rate B) ordinal exchange rate C) nominal exchange rate D) expected exchange rate

Economics

A commitment

A) is a promise. B) is a contractual arrangement between parties. C) is when one party states that they will not play a game that ends in a prisoner's dilemma. D) is when a party states that they will engage in a certain type of behavior regardless of what others do.

Economics