Suppose the exact statements of the assumptions of a model do not enter in a crucial way, so that slightly different assumptions still lead to the same conclusion. When this occurs, the model is
a. tractable.
b. robust.
c. rational.
d. efficient.
b. robust.
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The demand for bread is likely to be more elastic than the demand for solid-gold bread plates
a. True b. False Indicate whether the statement is true or false
Securitization:
A. is a promise by the bond issuer to repay the loan, at a specified maturity date, and to pay periodic interest at a specific percentage rate. B. is an agreement in which a lender gives money to a borrower in exchange for a promise to repay the amount loaned plus an agreed-upon amount of interest. C. turns many loans into a risk-free secure asset. D. turns many loans into a single larger asset.
________ shifts the Fed rule to the left.
A. An increase in government spending B. A decrease in the Z factors C. An increase in the price level D. A decrease in government spending
Refer to the information provided in Figure 7.10 below to answer the question(s) that follow. Figure 7.10Refer to Figure 7.10. At Point A the absolute value of the slope of the q1 = 100 isoquant is
A. less than 2. B. exactly equal to 2. C. greater than 2. D. indeterminate from this information.