Borrowers are ________ of loanable funds, and lenders are ________ of loanable funds
A) suppliers; demanders B) demanders; suppliers
C) demanders; demanders D) suppliers; suppliers
B
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What would be the effect on the loanable funds market of an increase in the corporate profits tax? (Assume that the government maintains a balanced budget.)
a. The demand for funds would decrease, lowering the interest rate and leading to lower private investment. b. The demand for funds would increase, raising the interest rate and leading to higher private investment. c. Both the demand and the supply of funds would increase, lowering the interest rate and leading to lower private investment. d. The supply of funds would increase, lowering the interest rate and leading to higher private investment. e. The supply of funds would decrease, raising the interest rate and leading to lower private investment.
In what ways can a monopolistically competitive firm differentiate their product?
a. Physical Differences b. Spatial Differentiation c. Services Provided d. All of the above are ways to differentiate a product
According to the classical dichotomy, when the money supply doubles, which of the following also doubles?
a. the price level and nominal wages b. the price level, but not the nominal wage c. the nominal wage, but not the price level d. neither the nominal wage nor the price level
Sadie works at a factory for $15 an hour and typically works 40 hours a week. Sadie gets a pay raise and now earns $20 an hour. She decides to work 45 hours a week at $20 an hour. Her response:
A. implies her labor-supply curve is upward sloping. B. is typically what is observed. C. tells us the price effect outweighed the income effect of her pay raise. D. All of these statements are true.