Other things the same an increase in the interest rate
a. increases national saving, this is shown by moving along the demand for loanable funds curve.
b. increases national saving, this is shown by moving along the supply of loanable funds curve.
c. decreases national saving, this is shown by moving along the demand for loanable funds curve.
d. decreases national saving, this is shown by moving along the supply of loanable funds curve.
b
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In economics, the term "capital" refers to
A) the money in one's pocket. B) buildings and equipment. C) mineral resources. D) consumer goods.
At a certain level of production, the marginal revenue and marginal cost of a monopolist are $8 and $6, respectively. Which of the following statements is true in this context?
A) The monopolist should expand production. B) The monopolist should contract production. C) The profits of the monopolist are maximized. D) The profits of the monopolist are minimized.
Structural unemployment
A) falls during the expansion phase of the business cycle. B) falls as the pace of technological progress increases. C) generally lasts longer than frictional unemployment. D) falls when the government provides more generous unemployment compensation benefits.
Figure 6.9 depicts a hypothetical fish market with a horizontal supply curve. Suppose the government imposes a tax of $2 per pound of fish, and the tax is paid in legal terms by producers. Which of the following shows the difference between the total burden of the tax and the amount of revenue collected by the government?
A. Triangle A B. Rectangle B C. Triangle C D. Rectangle E