If the interest rate increases, then the:
a. economy will move to a new point along the existing consumption function.
b. consumption function will shift upward.
c. investment demand curve will shift downward.
d. investment demand curve will shift upward.
e. economy will move to a new point along the existing investment demand curve.
c
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According to the Application, recent reforms in Cuba have relied less on the free market in determining prices in the housing market
Indicate whether the statement is true or false
Both the International Monetary Fund and the World Bank were established
A) at the end of World War I. B) at the end of World War II. C) in the 1960s. D) in the 1970s.
Which of the following is NOT a barrier to entry that would allow a monopolist to keep potential competitors out of its market?
A) Significant economies of scale exist. B) The market price of the product is too high. C) The firm has a patent on the good or control over some resource required for the production of the good. D) The firm has government authorization to be a monopoly.
According to Friedman, a person's marginal propensity to consume is determined by the person's
a. transitory income b. permanent income c. absolute income d. marginal propensity to save e. life cycle income