A decrease in expected inflation
A) usually leads to falling nominal interest rates.
B) results in increased nominal capital gains on physical assets.
C) will shift the bond demand curve to the left.
D) will shift the supply curve for loanable funds to the left.
A
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Which of the following displays these two characteristics: rivalry and nonexcludability?
A) a common resource B) a private good C) a public good D) a quasi-public good
When a nation first begins to trade with other countries and the nation becomes an exporter of soybeans,
a. this is an indication that the world price of soybeans exceeds the nation's domestic price of soybeans in the absence of trade. b. this is an indication that the nation has a comparative advantage in producing soybeans. c. the nation's consumers of soybeans become worse off and the nation's producers of soybeans become better off. d. All of the above are correct.
If employers are profit-maximizers, then
a. competition will always eventually eliminate employment discrimination. b. employment discrimination may persist if consumers discriminate. c. employment discrimination will persist because it is always profitable. d. compensating differentials cannot exist.
The exchange rate is the:
A. value of one currency expressed in terms of the goods and services it can buy. B. value of currency adjusted for inflation. C. value of one currency expressed in terms of another currency. D. reciprocal of the currency's real value.