Exam 12: Macroeconomic and Industry Analysis

If the currency of your country is depreciating, this should ________ exports and ________ imports.

What economic variable is most closely associated with increasing corporate profits?

The average duration of unemployment is ________.

Which of the following industries would most analysts classify as mature?

If the economy is going into a recession, a good industry to invest in would be the ________ industry.

Which one of the following stocks represents industries with below-average sensitivity to the state of the economy?

An industry analysis for manufacturers of a small personal care gadget observed the following characteristics: 1) Industry sales have grown at 15%-20% per year in recent years and are expected to grow at 10%-15% per year over the next 3 years, still well above the economic growth rate. 2) Some U.S. manufacturers are attempting to enter fast-growing non-U.S. markets, which remain largely unexploited. 3) Some manufacturers have created a new niche in the industry by selling directly to customers through mail order. Sales for this industry segment are growing at 40% per year. 4) The current penetration rate in the United States is 60% of households and will be difficult to increase. 5) Manufacturers compete fiercely on the basis of price, and price wars within the industry are common. 6) Some manufacturers are able to develop new, unexploited niche markets in the United States based on company reputation, quality, and service. 7) Several manufacturers have recently merged, and it is expected that consolidation in the industry will increase. 8) New manufacturers continue to enter the market. Characteristics ________ would be typical of an industry that is in the start-up stage.

Which industry had the highest ROE in 2016 according to the text?

An industry analysis for manufacturers of a small personal care gadget observed the following characteristics: 1) Industry sales have grown at 15%-20% per year in recent years and are expected to grow at 10%-15% per year over the next 3 years, still well above the economic growth rate. 2) Some U.S. manufacturers are attempting to enter fast-growing non-U.S. markets, which remain largely unexploited. 3) Some manufacturers have created a new niche in the industry by selling directly to customers through mail order. Sales for this industry segment are growing at 40% per year. 4) The current penetration rate in the United States is 60% of households and will be difficult to increase. 5) Manufacturers compete fiercely on the basis of price, and price wars within the industry are common. 6) Some manufacturers are able to develop new, unexploited niche markets in the United States based on company reputation, quality, and service. 7) Several manufacturers have recently merged, and it is expected that consolidation in the industry will increase. 8) New manufacturers continue to enter the market. Which of the characteristics would be typical of an industry that is in the maturity stage?

Which of the following describes the rate at which your ability to purchase grows while you hold an interest-earning investment?

The most widely used monetary policy tool is ________.

Supply-side economics tends to focus on ________.

Attempting to forecast future earnings and dividends is consistent with which of the following approaches to securities analysis?

Which of the following are examples of cyclical industries? I. Washing Machines II. Computer chip manufacturers III. Kellogg's Frosted Flakes IV. Pfizer

The stock price index and contracts and orders for nondefense capital goods are ________.

An expanding economy puts stress on the manufacturing ability of a company. When a firm turns business down during periods of economic expansion, a problem exists in the area of ________.

The yield curve spread between the 10-year T-bond yield and the federal funds rate is a ________ economic indicator.

Cash cows are typically found in the ________ stage of the industry life cycle.

You can earn abnormal returns on your investments via macro forecasting ________.

Which of the following are barriers to entry? I. Large economies of scale required to be profitable II. Established brand loyalty III. Patent protection for the firm's product IV. Rapid industry growth