Author Question: If the price of a barrel of oil is 100 this year and the interest rate is 10 percent, then according ... (Read 83 times)

burton19126 · **on:** Jun 29, 2018

If the price of a barrel of oil is 100 this year and the interest rate is 10 percent, then according to the Hotelling Principle the price next year is expected to be ________ per barrel.

A) 90
B) 110
C) 100
D) None of the above is correct.

Question 2

Adverse selection occurs when a sales offer attracts the kinds of customers that the seller does not want.

Indicate whether the statement is true or false