Suppose you and your friend are in a shopping mall and you borrow $500 from your friend to pay for a smartphone that you purchase in a shop. This is an example of
A. direct financing.
B. moral hazard.
C. money laundering.
D. indirect financing.
Answer: A
You might also like to view...
Which of the following is NOT a capital good?
A. A new house purchased by a family B. A new apartment building purchased by a corporation C. Machines purchased by a car manufacturer to measure metal thicknesses D. Batteries purchased by a car manufacturer to install in new cars
According to Simon Kuznet's (1958) research, the pattern of immigration in 1865–1914
(a) showed long swings but not the short-term business cycle fluctuations. (b) showed no long swings in the 1820–1860 period, but did show the business cycle. (c) showed both business cycle patterns and long swing patterns. (d) unlike 1820–1860, showed neither short cycles nor long swings, but was instead a steady surge after the Civil War ended.
"No person can be deprived of life, liberty or property without due process of law, nor shall private property be taken for public use without just compensation."
a. Article 1 of the Declaration of Independence b. The first amendment c. The Eleventh Amendment d. The Fifth Amendment e. None of the above
Suppose an economy produces only smart phones. If the price level falls, the value of currency
a. rises, because one unit of currency buys more smart phones. This is called deflation. b. rises, because one unit of currency buys more smart phones. This is called inflation. c. falls, because one unit of currency buys fewer smart phones. This is called deflation. d. falls, because one unit of currency buys fewer smart phones. This is called inflation.