A likely consequence of debt default is _____ .
a. a decrease in the federal cost of borrowing.
b. an increase in unemployment due to growing uncertainty.
c. a sudden decline in the market interest rates.
d. an increase in the credit flows in an economy.
b. an increase in unemployment due to growing uncertainty.
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"If the marginal product of labor curve slopes downward, then the average product of labor curve necessarily must slope downward." Explain whether the previous statement is correct or incorrect
What will be an ideal response?
Which of the following statements is true?
a. Nominal GDP = (price index ? real GDP) ? 100 b. Nominal GDP = (real GDP ? price index) ? 100 c. Real GDP = (price index ? nominal GDP) ? 100 d. Real GDP = (nominal GDP ? price index) ? 100 e. Price index = (real GDP ? nominal GDP) ? 100
Economic losses mean that firms will exit from a market in the short run.
Answer the following statement true (T) or false (F)
A patent on a product gives a firm
A. protection from having the invention copied or stolen for a period of 20 years. B. excessive profits in the long run. C. economies of scale in producing the product. D. the power to impose a tariff on a competing product.