For a given rate of interest, the total interest you receive from lending money
A) increases with the frequency of compounding.
B) decreases with the frequency of compounding.
C) is independent of the frequency of compounding.
D) is greatest when there is no compounding.
A
You might also like to view...
In the figure above, the shift in the demand curve for U.S. dollars from D0 to D2 could occur when
A) the U.S. interest rate falls. B) the U.S. interest rate rises. C) people expect that the dollar will appreciate. D) foreign interest rates fall.
Suppose a bank has $100 million in checking account deposits with no excess reserves and the required reserve ratio is 10 percent
If the Federal Reserve raises the required reserve ratio to 15 percent, then the bank will now have excess reserves of A) $0. B) -$5 million. C) $5 million. D) $15 million.
The existence of a deadweight loss associated with a monopoly can be seen because
A) consumers are willing to pay more for the last unit of output than it cost to produce. B) the cost of the last unit produced is more than consumers are willing to pay for it. C) the producer surplus is larger than in a competitive market. D) None of the above.
Which of the following restricts the volume of international trade?
a. stable prices b. tariffs c. the law of comparative advantage d. a stable international monetary system