In the long run, the real interest rate is determined by
A) the nominal interest rate.
B) saving supply and investment demand.
C) the multiplier effect.
D) the expected inflation rate.
E) Fed actions.
B
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Refer to Figure 11.4. Which diagram illustrates the effect of a decrease in government spending?
A) A B) B C) C D) D
In the early 2000s, laws requiring banks and mortgage brokers to disclose the terms of home loans:
A. prevented Americans from entering into mortgage contracts that they did not understand. B. were an example of how the government can act to solve the moral hazard problem. C. were so numerous and detailed that borrowers didn't read or understand the information the companies had disclosed. D. reduced statistical discrimination in the home mortgage market.
If marginal cost exceeds average variable cost,
a. average variable cost is negative b. average variable cost is increasing c. marginal cost is greater than average total cost d. average variable cost is decreasing e. average fixed cost is increasing
Compare the 2014 unemployment rates and labor-force participation rates of whites, blacks, adults of prime working age (ages 25-54), and teenagers (ages 16-19)