In direct finance, funds are loaned and borrowed through a financial intermediary
Indicate whether the statement is true or false
False
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The aggregate demand curve shows the relationship between planned purchases of
A) all final goods and services and the price level. B) all final goods and services and interest rates. C) all final goods and services and total planned production. D) all final goods and services and nominal GDP.
Speculators in the stock market
a. aggravate instability in the market. b. create shortages of certain stocks. c. smooth out fluctuations in the market. d. reduce the profits of firms that issued the stock.
Imperfect competition
A. means there is no competition in the market. B. should always be regulated by the government C. is a major cause of externalities in the market. D. results in less efficient market outcomes.
Refer to Figure 1A.2. The slope between points a and c is
A) -5. B) -6. C) 10. D) 30.