Compound interest is the payment of interest on the

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15. Compound interest is the payment of interest on the original deposit and all accumulated interest. T F Section B Answer all the questions. Each question is worth 2 points 1. In Cuba, a bureaucratic committee makes the production decisions for the country's firms and factories. Therefore, Cuba is an example of a A. centralized economy. B. capitalist economy. C. mixed economy. D. pure free-market economy. 2. In order to understand how the price of a good is determined in the free market, one must account for the desires of: 3. The nominal interest rate equals the: 4. The greater demand for paid childcare services as women's labor force participation increases represents primarily:
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5. As coffee becomes more expensive, Joe starts drinking tea, therefore quantity demanded for coffee decreases. This is called A. the income effect. B. the change in equilibrium. C. the substitution effect. D. a shift in the demand curve. 6. You can spend $5 for lunch and you would like to have two Double Cheeseburgers. When you get to the restaurant, you find out the price for Double Cheeseburger has increased from $2.50 to $2.99. You decide to have two single Cheeseburgers for lunch. This is best described as a(n) 7. When economists use market values to aggregate output, they sum the:
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