If disposable income increases, people will decide to ________ saving, the supply of loanable funds will ________ and the real interest rate will ________

A) increase; decrease; rise
B) decrease; decrease; rise
C) increase; increase; fall
D) decrease; increase; fall


C

Economics

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Indicate whether the statement is true or false

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If you lost 20 percent on $100 worth of stock in a 2x margin account, then you would:

A. lose $40. B. gain $40. C. lose $20. D. gain $20.

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The price elasticity of demand for color printers is 1.6 and you would like to see the quantity demanded for color printers to increase by 32%. Then the percentage change in price should be:

A. 10%. B. 15%. C. 20%. D. 25%.

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Suppose the income tax rate schedule is 0 percent on the first $10,000; 10 percent on the next $20,000; 20 percent on the next $20,000; 30 percent on the next $20,000; and 40 percent on any income over $70,000. Family A earns $32,000 a year and Family B

earns $70,000 a year. Both families each receive a ten percent raise. What is the marginal tax rate of each and what is the extra tax paid by each after the raise? What will be an ideal response?

Economics