Multiple Choice
Which of the following is a definition of Tobin's q?
A) the growth rate of the quantity of money
B) a firm's optimal capital stock divided by its actual capital stock
C) the ratio of a firm's stock market valuation to the value of its physical assets
D) the ratio: gross investment/net investment
E) the rate at which physical capital depreciates, plus the interest rate
Correct Answer:
Verified
Correct Answer:
Verified
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