The form of risk to the lender associated with a borrower not paying their debt is called
A. overall risk.
B. market risk.
C. default risk.
D. complete risk.
Answer: C
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Assume that national income = $4,000 . C = $500 + 0.80(Y), and intended investment = $200 . Then all of the following are true except
a. saving at Y = $0 is -$500 b. national income will increase c. there will be $100 of unplanned investment in inventories d. actual investment will equal $300 e. production will decrease
If a savings account pays 5 percent annual interest, then the rule of 70 tells us that the account value will double in approximately 14 years
a. True b. False Indicate whether the statement is true or false
What is a bond buyer promised when she buys a bond?
A change in the aggregate price level moves the economy along a given aggregate supply curve.
Answer the following statement true (T) or false (F)