If the real interest rate is above the equilibrium real interest rate
A) lenders will be unable to find borrowers willing to borrow all of the available funds and the real interest rate will fall.
B) borrowers will be unable to borrow all of the funds they want to borrow and the real interest rate will rise.
C) lenders will be unable to find borrowers willing to borrow all of the available funds and the real interest rate will rise.
D) borrowers will be unable to borrow all of the funds they want to borrow and the real interest rate will fall.
A
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Normative economic statements
a. can’t be verified. b. deal with “what is”. c. consider the effect one variable has on another variable . d. None of these.
The Keynesian consumption function implies that at a given moment persons with high incomes are saving ________ persons with low incomes, a prediction which is ________ by actual cross-section consumption data
A) a lower fraction of income than, confirmed B) a lower fraction of income than, not confirmed C) a higher fraction of income than, confirmed D) a higher fraction of income than, not confirmed E) the same fraction of income as, confirmed
Which of the following is a social insurance program?
a. Medicaid b. Food stamps c. Social Security d. Temporary Assistance for Needy Families e. FDIC
Studies have shown that in the 1980s the wage gap between college-educated workers and those with high school education or less
A. decreased dramatically. B. decreased slightly. C. remained unchanged. D. widened dramatically.