What happens to the amount of funds supplied to the loanable funds market when the interest rate decreases?
a) The amount of loanable funds supplied decreases.
b) The amount of loanable funds supplied increases.
c) The amount of loanable funds supplied stays the same.
d) The amount of loanable funds supplied falls to zero when the interest rate decreases
Ans: a) The amount of loanable funds supplied decreases.
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The price of a gallon of gasoline increased from $2.00 to $2.25 while the price of a ride on the city bus increased from 50 cents to 75 cents. The relative price of riding the city bus
A) increased from 0.25 to 0.6. B) decreased from 4.0 to 3.0. C) stayed constant at 0.25. D) stayed constant at 4.0.
When the number of parties involved in the transaction is small, Coase's solution of assigning property rights may not be enough
Indicate whether the statement is true or false
Consider a simple linear regression model, wage = 
+
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Which of the following is TRUE about species in the world?
A) Most extinct species became extinct within the past 30 years. B) The majority of extinct species became extinct before humans appeared. C) Extinct species became extinct only after human appeared. D) No species has ever become extinct.