The real interest rate is defined as the:
A. actual interest rate.
B. fixed-rate on consumer loans.
C. nominal interest rate minus the inflation rate.
D. expected interest rate minus the inflation rate.
Answer: C
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An agrarian system refers to
(a) the pattern of land ownership. (b) the type of crops grown. (c) the processing of agricultural commodities. (d) an economy that has no industry.
If the demand curve is a straight line and has the normal negative slope, then as quantity demanded increases, demand
a. becomes more elastic b. becomes more inelastic c. is unitary elastic d. rises and then falls e. is an inverse function of supply
If a developing country has sufficient reserves, the buying and selling of foreign currency by the central bank is:
A. likely to have a much smaller impact on the exchange rate than in developed countries. B. completely ineffective on the exchange rate. C. likely to have a much greater impact on the exchange rate than in developed countries. D. likely to have roughly the same impact on the exchange rate as in developed countries.
Preferred Budgets ($ in millions)567891011Number of voters (in thousands)61016201595Table 15.2Table 15.2 shows the preferred budget for a new civic center and the number of voters in a community who prefer that budget. What budget does the median voter prefer?
A. 7 B. 8 C. 9 D. 10