Exam 11: Interest,rent,and Profit

The primary function of interest rates is to

As the degree of risk connected with a loan increases,the difference between the actual rate of interest on the loan and the pure rate of interest

The view that the only tax governments should impose is a tax on rent is most closely associated with

If the interest rate is 7.5 percent,a dollar received a year from now has a present value of

Assume that the economy is in equilibrium with the pure rate of interest at 7 percent per year and an investment of funds in a particular project would return 11 percent per year.Frank Knight would argue that most of the 4 percent differential is

The basic difference between rent and other payments for productive inputs is that

Land is defined by economists as an input whose ________ is fixed.

That profits are a consequence of the exploitation of labor and the appropriation of labor's surplus value is a theory closely associated with

Economic rent is a

Two important determinants of the rate of interest charged to borrowers are the riskiness of the loan and the

An increase in the price of some rural acreage resulting from the construction of a nearby interstate highway is an example of

If a $1 million project can be financed at 12 percent per year and will have a 15 percent rate of return per year,its annual profit will be

Under tight monetary policy,large amounts of government borrowing will

Marx called that part of labor's productivity appropriated by employers

In the 1990s,thousands of new companies were formed to take advantage of the

The following question are based on the following rates of return for five independent investment projects: -A 2 percent increase in the interest rate might result in canceling the decision to undertake project

The single tax movement of Henry George would have

Accounting profits differ from the economist's concept of profits because accounting profits

Schumpeter argued that

The pure rate of interest is the