The demand for bonds curve slopes downwards because
A) at higher prices, bonds pay higher interest which makes them more attractive to buyers.
B) lower prices reduce the cost of borrowing which makes them less attractive to buyers.
C) at lower prices, bonds pay higher interest which makes them more attractive to buyers.
D) higher prices raise the cost of borrowing which makes them less attractive to buyers.
Ans: C) at lower prices, bonds pay higher interest which makes them more attractive to buyers.
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A) an inferior good. B) a public good. C) a Giffen good. D) a normal good.
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How are unemployment, inflation, and the business cycle related?
What will be an ideal response?