The demand for loanable funds curve shows that the higher the real interest rate, the
A) more the loanable funds demand curve shifts leftward.
B) smaller the demand for loanable funds.
C) smaller the quantity of loanable funds demanded.
D) larger the demand for loanable funds.
E) larger the quantity of loanable funds demanded.
C
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The payment made by a bank to a depositor to use her money for lending to those in need of funds is referred to as the ________
A) dividend B) interest C) principal D) stock
The above table has the marginal product schedule for Nick's Dry Cleaners, a perfectly competitive dry cleaning firm
a) If the price to dry clean a blouse is $8 each, complete the last column of the table. b) If Nick can hire workers at the going wage rate of $16 an hour, how many workers does Nick hire?
The consumer price index implicitly assumes that the demand curve for each good and service in the representative market basket is
A) vertical. B) negatively sloped. C) positively sloped. D) horizontal.
When the Fed increases the money supply
A) the interest rate rises and this stimulates consumption spending. B) the interest rate falls and this stimulates investment spending. C) the interest rate rises and this stimulates investment spending. D) people spend less because they have more money.