Other things the same, if the U.S. interest rate falls, then U.S. residents will want to purchase
a. more foreign assets, which increases the quantity of loanable funds demanded.
b. fewer foreign assets, which decreases the quantity of loanable funds demanded.
c. more foreign assets, which increase the quantity of loanable funds supplied.
d. fewer foreign assets, which decreases the quantity of loanable funds supplied.
a
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The table above presents the production possibilities frontier for a nation. Using the information in the table, moving from possibility C to B means that
A) 4 units of capital goods are given up to get 55 units of consumption goods. B) 2 units of capital goods are given up to get 55 additional units of consumption goods. C) 4 units of capital goods are given up to get 10 additional units of consumption goods. D) 4 units of capital goods are given up to get 45 units of consumption goods. E) 2 units of capital goods are given up to get 10 additional units of consumption goods.
Which of the following is a normative economics statement?
a. An increase in the minimum wage will reduce teenage employment. b. Increasing the minimum wage will result in more votes for progressive candidates. c. Raising the minimum wage would greatly increase labor costs in certain industries. d. Raising the minimum wage is a poor idea because living wage laws are better.
Buyers and sellers in the foreign exchange market negotiate an exchange of
A. foreign banks. B. foreign stocks. C. foreign government bonds. D. currencies of various countries.
An open market sale by the Fed:
A. increases the money supply and increases output. B. increases the money supply and decreases output. C. decreases the money supply and increases output. D. decreases the money supply and decreases output.