Almost All Economists Agree That Local and State Governments Should

question 6

Multiple Choice

Almost all economists agree that local and state governments should

• A)eliminate subsidies to professional sports franchises.
• B)increase subsidies to professional sports franchises.
• C)copy economic policy from Washington,D.C.
• D)prevent companies from outsourcing work.

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Definitions:

Present Value

The current value of a future sum of money or stream of cash flows given a specified rate of return.

Interest Rate

The percentage of a loan charged to the borrower as interest, usually presented as an annual rate of the remaining loan balance.

Present Value

The calculated present value of a prospective sum of money or cash flow stream, utilizing a given rate of return.

Land

In economics, land refers to all natural resources used to produce goods and services, including not just real estate but also agricultural land, forests, and mineral resources.