If Two Countries Are Identical Except That There Is Significant

question 86

Multiple Choice

If two countries are identical except that there is significant air and water pollution in one, then the level of GDP:

• A) will be higher in the country with pollution.
• B) will be higher in the country with no pollution.
• C) will be the same in both countries.
• D) will be greater than the level of economic well being in each country.

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Definitions:

After-tax

The amount of money that remains following the deduction of taxes from income, profit, or revenue.

Annual Dividend

The total dividend payment a company distributes to its shareholders annually.

Rate of Return

The appreciation or depreciation in value of an investment over an agreed period, conveyed as a percentage of the investment's starting value.

Dividend Increase

An action taken by a company's board of directors to raise the amount paid out to shareholders in dividends.