When the U.S. government launched a massive rescue plan in response to the 2008-2009 financial crisis, the overall demand for loanable funds ________ because the ________
A) decreased; demand by households, businesses, and financial institutions changed by the same amount as the federal government demand
B) did not change; demand by households, businesses, and financial institutions changed by the same amount as the federal government demand
C) increased; demand by households, businesses, and financial institutions increased as did the federal government demand
D) decreased; demand by households, businesses, and financial institutions decreased by more than the federal government demand increased
E) increased; demand by households, businesses, and financial institutions increased by more than the federal government demand increased
D
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What will be an ideal response?
There are different kinds of income discussed in the book. Which one of the following does not belong
a. Discretionary b. Disposable c. Gross d. Aspirational
Based on this new information, what is Willy's "expected loss" due to an accident, provided that he installs the equipment?
Assume all of the information from Question #10 above, with one exception: Willy has the option of installing additional safety equipment that will reduce the probability of an accident to 10%. A. $20,000 B. $50,000 C. $100,000 D. $125,000
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A) real interest rate. B) nominal interest rate. C) prime interest rate. D) opportunity cost of capital.