If people (who used to neither borrow nor save) are now borrowing to put their kids through college, then this will cause the
A. demand for loanable funds to decrease.
B. demand for loanable funds to increase.
C. supply for loanable funds to increase.
D. supply for loanable funds to decrease.
Answer: B
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According to the MABP, BOP disequilibria
A) must be transitory. B) are essentially real phenomena. C) must be permanent. D) are not important.
Suppose Lily's indifference curves are defined as U = ?FS + ?FH, where FS is consumption during sunny weather and FH is consumption during a hurricane. Lily receives 64 units of food when it is sunny and 16 units of food when there is a hurricane. What is the risk premium if the probability of sunshine is ? = 0.5?
A. 4 B. 6 C. 12 D. 16
Oligopolists seldom change prices, because they don't like change
a. True b. False Indicate whether the statement is true or false
How are aggregate supply and stagflation related?
A. Stagflation usually causes an adverse shift in aggregate supply. B. An adverse supply shift usually causes stagflation. C. Stagflation only follows inflation, with no relation to aggregate supply. D. There is no relationship between the two.