An Improvement in the Quality of Capital Would

question 97

Multiple Choice

An improvement in the quality of capital would:

• A)rotate the per-worker production function upward.
• B)make the per-worker production function flatter.
• C)shift the per-worker production function downward.
• D)rotate the per-worker production function downward.
• E)have no effect on the per-worker production function.

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Definitions:

Dividend Yield

A company's yearly dividend disbursement compared to its stock price, shown as a financial ratio.

Dividend Income

Income received from owning shares of stock in a company, usually paid out from the company's profits to shareholders at regular intervals.

Shares

Portions of ownership in a corporation, representing a claim on part of its assets and earnings.

Dividend Yield

A financial ratio indicating how much a company pays out in dividends each year relative to its stock price, used by investors to gauge return on investment.