The demand for loanable funds curve illustrates
A) the quantity of loanable funds demanded at any given level of disposable income.
B) how the quantity of loanable funds demanded changes when the people's expectations about their future income changes.
C) how the quantity of loanable funds demanded changes when wealth changes.
D) the quantity of loanable funds demanded at any given level of the real interest rate.
E) the quantity of loanable funds supplied to the loanable funds market at any given level of disposable income.
D
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A tradable allowance is:
A. the minimum amount set by the government that can be bought or sold in a market. B. the permitted price for the trade of a particular good. C. a production or consumption quota that can be bought or sold. D. None of these statements is true.
The U.S. economy in the mid-2000s did not experience stagflation because
A. energy prices declined. B. the energy content of GDP declined. C. it became more volatile since 1980. D. All of these responses are correct.
The main function of the Federal Reserve System is to
A. clear checks from member banks. B. set reserve requirements of banks. C. control the money supply. D. serve as the fiscal agent for the federal government.
In an economy, unemployment exists only at points that are on the interior of the production possibilities frontier.
Answer the following statement true (T) or false (F)