Author Question: When Tobin's q is greater than one, ________. A) a unit of a firm's stock (equity) is worth more ... (Read 68 times)

jjjetplane · **on:** Jun 30, 2018

When Tobin's q is greater than one, ________.

A) a unit of a firm's stock (equity) is worth more than a unit of the firm's capital
B) a new unit of capital has more value than a new unit of stock (equity)
C) installed capital is worth less than new capital
D) a unit of capital that a firm owns has more value than a unit it might buy

Question 2

The level of income is unchanged in response to anticipated anti-inflation policy in ________.

A) real business cycle theory
B) traditional Keynesian theory
C) new Keynesian theory
D) post classical theory