Laura Kaid owns a business and is willing to invest in capital until, at the margin, her investment yields a cash stream with a present value less than the marginal cost of the investment.
a. True
b. False
Question 2
Suppose U.S. consumers start buying more English shoes and fewer U.S. shoes. What impact will this trend have on the foreign exchange market?
a. U.S. demand for foreign exchange, in general, and British pounds, in particular, will increase.
b. U.S. demand for foreign exchange, in general, and British pounds, in particular, will decrease.
c. U.S. demand for British pounds will increase, but the demand for foreign exchange will probably decrease.
d. U.S. demand for British pounds will decrease, but the demand for foreign exchange will probably increase.
e. There is no effect on foreign exchange.
Welcome sign for Kenton, Tennessee, an example of competition for "White Squirrel Capital"
Share of Human Capital in Wages in Developing Countries
GDP and Capital per Worker, 2009
Capital’s Share of Income in a Cross-Section of Countries
Effect of Increasing the Investment Rate on the Steady State
Business Math, 10th Edition