Most statistical studies on the relationship between real interest rates and saving conclude that higher real interest rates
A. increase saving.
B. tend to decrease saving.
C. tend to decrease both consumption and saving.
D. have no effect on saving.
Answer: D
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Many eligible voters do not vote, and many who do vote don't read the biographies of candidates before they vote. These are examples of
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Suppose a business firm dumps its used car batteries into a river.
A. The company's actions constitute an external cost. B. The company's actions constitute an external benefit. C. The company's actions would be an example of the market system efficiently allocating resources. D. The company's actions damage no one but itself.