As interest rates rise, other things equal,
A) investment decreases.
B) money demand decreases.
C) capital inflows increase.
D) All of the above.
D
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Suppose that Chris had been charging $1.00 per pound for potatoes. When Chris lowered the price to $0.90 per pound, his total revenue fell. When Chris raised the price to $1.10, total revenue also fell. Which of the following could explain this?
A. The price elasticity of demand for potatoes is 1 at a price of $1.00 per pound. B. $1.00 is the equilibrium price for potatoes. C. $1.10 is more than Chris's customers' reservation prices. D. At 90 cents, there is excess demand for potatoes.
Migration from poor to rich countries hurts poor countries through
a. loss of educated individuals b. residents sending money abroad to migrants c. tightening job markets at home d. opening executive jobs to workers from developed countries e. all of the above
Which type of financial intermediary is NOT considered a "thrift institution"?
A) commercial banks B) savings-and-loans C) mutual savings banks D) credit unions
The three primary sources of corporate funds are
A) banks, friends, and family. B) government, other corporations, and the central bank. C) investment banks, brokerages, and insurance companies. D) stocks, bonds, and reinvestment of profits.