The demand curve for loanable funds slopes down because
A) at lower bond prices more loanable funds will be supplied.
B) lower interest rates reduce the inflation rate.
C) an increase in the interest rate makes borrowers more willing and able to demand more funds.
D) a decrease in the interest rate makes borrowers more willing and able to demand more funds.
D
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Suppose a monopoly is producing its profit-maximizing output level. Now suppose the government imposes a lump-sum tax on the monopoly, independent of its output. As a result the monopoly's profit will fall
Indicate whether the statement is true or false
The first successful application of continuous process manufacturing was in:
a. textile mills. b. automobile manufacturing. c. manufacturing of guns. d. grain milling.
The study of microeconomic theory focuses on
A. individual behavior in the economy B. Role of the banking system in the economy. C. Operation of the entire economy. D. Interaction of international trade and domestic production of goods and services.
Which if the following is the best example of derived demand?
A. The demand for movie theater ushers increases when more consumers choose to go to movie theaters. B. More peanut butter is demanded as the price of strawberry jam falls. C. When the price of Honda Accords increased, the demand for Nissan Altimas went up. D. Janice got a Samsung Galaxy Tab for her birthday, and now her best friend Tamika wants one for her birthday.