Over the past few decades, nominal interest rates have been higher than real rates of interest. This means that
A. lenders must have expected inflation.
B. borrowers must have expected deflation.
C. lenders must have expected prices to fall.
D. borrowers must have expected prices to fall.
Answer: A
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Among the components of each NPDWR is
a. the minimum contaminant level b. a secondary maximum contaminant level to protect public welfare c. a National Contaminant Occurrence Database (NCOD) d. the maximum contaminant level goal (MCLG)
In most countries, primary and secondary education is the responsibility of the
A. private business sector. B. religious institutions. C. government sector. D. household.
TheWall Street Journalreports that “hard times aid poultry companies as people eat cheaper fowl.” In the language of economists, this means
A. chicken is an inferior good. B. chicken has a negative substitution effect. C. chicken has a positive substitution effect. D. people’s tastes change during recessions. E. chicken has a positive income effect.
Noise traders involves investors who
A) overreact to good and bad news. B) strictly follow the efficient markets hypothesis. C) filter out the noise involved in following their stocks. D) ignore new information about stocks.