One cause of the 2008 financial crisis was that many mortgage brokers were ______.
a. warning borrowers not to borrow too much
b. discouraging borrowers from using new hybrid loans
c. encouraging borrowers to borrow more than they could afford
d. promoting fixed-rate mortgages instead of adjustable-rate mortgages
c. encouraging borrowers to borrow more than they could afford
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The Federal Reserve Bank of ________ houses the open market desk
A) Boston B) New York C) Chicago D) San Francisco
If the economy is at full employment, anything that causes the level of income to change will cause fluctuations in the __________ that will shift the __________ curve and thus help stabilize economic activity
A) price level; IS B) price level; LM C) interest rate; IS D) interest rate; LM
A bond purchaser is lending money to a corporation.
Answer the following statement true (T) or false (F)
Being risk averse means that you would be willing to pay ________ than the expected outcome in order to guarantee an outcome.
A. no more or less B. more or less C. more D. less