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During the 1990s, securities related to technology and other dot-com firms experienced skyrocketing market prices. But, the market crashed around the year 2000. We can argue that this example: A: does not support the efficient markets hypothesis because people paid too much attention to historical events. B: supports the efficient markets hypothesis in that the high demand for, and perceived good chances of, high returns from these “dot-com” securities were incorporated into their prices. C: both supports and refutes the efficient markets hypothesis because when sentiments changed, the prices quickly fell. But, bubbles such as this one could be the result of herding. D: neither supports nor refutes the efficient markets hypothesis because when sentiments changed, the prices quickly fell. But, bubbles such as this one could be the result of herding. **NOT A OR B; ALREADY TRIED & WRONG**
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In the Keynesian-cross model, an increase in the real interest rate shifts the expenditure line _____ and short-run equilibrium output _____.
The industry demand curve for a particular market is: Q = 1800 - 200P. The industry exhibits constant long run average cost at all levels of output, regardless of the market structure. Long run average cost is a constant $1.50 per unit of output. Cal..
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If you invest $1,000 today, how much will it be worth in 20 years? Assume that the money will grow at the interest rates: of 8% compounded semi annually during years 1-10, and 12% compounded quarterly during the remaining years.
The Australian government administers two programs that affect the market for cigarettes
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What is the effective borrowing rate on this home mortgage loan?
find the equation that describes the IS curve
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