A fall in the real interest rate leads to

a. an increase in the rental rate on a machine.
b. a decrease in the rental rate on a machine.
c. no change in the rental rate on a machine.
d. a fall in the marginal productivity of capital.


b

Economics

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Peg's Manicure Manor did 4,000 sets of nails in 2015 and 4,500 sets of nails in 2016. The price of a set of nails was $20 in 2015 and $22 in 2016. If 2015 is the base year, Peg's contribution to real GDP in 2015 was ________ and in 2016 was ________.

A. $80,000; $88,000 B. $80,000; $90,000 C. $88,000; $90,000 D. $80,000; $99,000

Economics

Which of the following decreases aggregate supply?

A) discoveries of new raw materials B) an increase in competition C) an increase in training and education D) a decrease in labor supply

Economics

Since individual consumers do not know how much of the price they pay for a commodity is due to trade protection, consumers rarely lobby their political representatives to eliminate protection and reduce prices

a. True b. False Indicate whether the statement is true or false

Economics

The impact of instituting investment tax credits is

A) to stimulate private sector investments and increase aggregate demand. B) to stimulate private production and increase aggregate supply. C) to encourage individuals to save in an effort to increase funds available for investment. D) to curtail in excessive lending by financial institutions.

Economics