If the interest rate increases, then the:
a. economy will move to a new point along the existing consumption function.
b. consumption function will shift up.
c. consumption function will shift down.
d. investment demand curve will shift up.
e. economy will move to a new point along the existing investment demand curve.
c
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In the long run, a firm in a perfectly competitive market will
A) make zero economic profit, so that its owners earn a normal profit. B) make zero normal profit but its owners will make an economic profit. C) remove all competitors and become a monopolistically competitive firm. D) incur an economic normal loss but not earn a positive economic profit. E) remove all competitors and become a monopoly.
Hiring a white worker may be statistically safer for the employer than hiring a minority
Indicate whether the statement is true or false
Cartels practice explicit collusion.
Answer the following statement true (T) or false (F)
If the currency drain ratio is 30 percent and the desired reserve ratio is 10 percent, the money multiplier is
A) 0.80. B) 1.25. C) 3.25. D) 5.00. E) 10.0.