A decrease in real interest rates will lead to an increase in the demand for loanable funds
a. True
b. False
Indicate whether the statement is true or false
False
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The slope of a horizontal line is
a. infinitely large b. zero c. positive d. negative e. infinitely small
When you own part of a company and share in its profits, we say that you have:
A. equity in that company. B. credit with that company. C. intermediary stock in that company. D. financial diversification in that company.
If you regularly spend $100 a month on gasoline and the price of gasoline doubles, your purchasing power has
A) increased. B) remained constant. C) became stable. D) decreased.
At the beginning of 2018, Albert planned to buy a new home theater system, laptop computer, and hybrid car by borrowing money. Albert already owes $9,000 on other loans. He also planned to buy a new iPod and humidor out of current income. A decrease in interest rates during 2018 will most likely
A. cause Albert to decide to borrow more money, but not change what he planned to spend on goods purchased with current income. B. cause Albert to decide to borrow less money and to spend less on goods purchased with current income. C. cause Albert to decide to borrow more money and to spend more on goods purchased with current income. D. cause Albert to decide to borrow less money, but not change what he planned to spend on goods purchased with current income.