Which of the following decreases the real interest rate?
A. an increase in the inflation rate, holding the nominal interest rate constant
B. a decrease in both the nominal interest rate and the inflation rate by the same percentage points
C. an increase in the nominal interest rate, holding the inflation rate constant
D. an increase in both the nominal interest rate and the inflation rate by the same percentage points
Answer: A
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A billboard is an example of
a. active listening b. two-way communication c. one-way communication d. none of the above
Refer to Figure 15-3. In the figure above, when the money supply shifts from MS1 to MS2, at the interest rate of 3 percent households and firms will
A) sell Treasury bills. B) want to hold more money. C) neither buy nor sell Treasury bills. D) buy Treasury bills.
For a screen to be successful,
a. High risk individuals must not be able to pose as low risk individuals b. It must not be profitable for high risk individuals to pose as low risk individuals c. High risk individuals should be able to pose as low risk individuals d. None of the above
In the United States, which of the following is an example of a government-sponsored good?
A. wireless networks B. cable TV service C. community college education D. cigarettes