The term structure of interest rates describes the relationship between the rate of interest charged and the
a. length of time until repayment of the loan
b. amount of the loan
c. riskiness of the borrower
d. identity of the borrower
e. age of the lender
A
You might also like to view...
A grower of commercial Christmas trees can raise blue spruce and Douglas fir. Therefore, an increase in the expected market price of Douglas firs tends to
A) reduce the planting of Douglas firs. B) reduce the planting of blue spruce trees. C) increase the cost of planting Douglas firs. D) do none of the above.
Unions support minimum wage laws because an increase in the minimum wage
A) increases the supply of union labor. B) decreases the supply of union labor. C) increases the demand for union labor. D) decreases the demand for union labor.
Explain the principle of neutrality with respect to taxes
What will be an ideal response?
To efficiently improve environmental quality, it is usually
A. better to focus on the hardest areas to clean up first since these usually are the biggest problems. B. more appropriate to concentrate on the physical quantities of pollution rather than on economic costs. C. better to focus on economic damages rather than physical quantities of pollution. D. best to set up stringent emission standards that must be followed by everyone.