The greater the risk of nonrepayment of a loan, other things being equal
A) the longer is the repayment term.
B) the lower is the charged loan fees.
C) the higher is the rate of interest.
D) the smaller is the amount of collateral that is used.
C
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If a per-unit tax on output sold is imposed on a monopoly's product, the monopolist will increase its market price by the full amount of the tax
Indicate whether the statement is true or false
A policy in which the money supply is kept growing at a constant rate regardless of the state of the economy is
A) a Taylor rule. B) a discretionary policy. C) a policy rule advocated by monetarists. D) advocated by activists.
A jeweler cut prices in his store by 20%. As a result: a. Its total revenue would fall by 20% if the elasticity of demand was zero
b. Its total revenue would fall, but by less than 20% if the elasticity of demand is greater than zero but less than one. c. Its total revenue would rise if the elasticity of demand is greater than one. d. All of the above would be true.
A higher price for a good implies that
A) the marginal utility of the good has declined. B) the total value of the good to the consumer has increased. C) the sacrifice of utility of another good has increased. D) the marginal utility of another good has decreased.