If supply is upward-sloping and demand is downward sloping, what happens to the equilibrium real risk-free interest rate and quantity of real loanable funds per time period if there is an increase of the real money supply and an increase in the government's budget deficit?
a. The real risk-free interest rate falls and the quantity per time period rises.
b. The real risk-free interest rate is uncertain and the quantity per time period rises.
c. The real risk-free interest rate is rises and the quantity per time period is uncertain.
d. The real risk-free interest rate does not change and the quantity per time period falls.
e. The real risk-free interest rate is uncertain and the quantity per time period is uncertain.
.B
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A) are dependent on each other. B) are positively correlated. C) are uncorrelated. D) do not have precisely the same pattern of returns.
The greater the consumer's reluctance to shift brands, the lower the price elasticity of demand
a. True b. False Indicate whether the statement is true or false
Government intervention in the market
A. Does not involve an opportunity cost if market outcomes are improved. B. Always involves an opportunity cost. C. Never involves an opportunity cost because only market activities result in other goods and services being given up. D. Results in the free-rider dilemma.
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A. marginal economics. B. macroeconomics. C. economic naturalism. D. microeconomics.