Which of the following is TRUE?
I. As the real interest rate increases, people increase the quantity they save.
II. The supply of loanable funds curve is downward sloping.
III. As disposable income increases, the supply of loanable funds curve becomes steeper.
A) I and III
B) II and III
C) I only
D) III only
C
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Indicate whether the statement is true or false
Unions can affect the demand for, but not the supply of, labor
a. True b. False
The deviation of unemployment from its natural rate is called
a. the economic rate of unemployment. b. cyclical unemployment. c. frictional unemployment. d. structural unemployment.
Answer the question on the basis of the following data. All figures are in billions of dollars. Gross Investment 18 National Income 100 Net Exports 2 Personal income 85 Personal Consumption Expenditures 70 Saving 5 Government Purchases 20 Net Domestic Product 105 Statistical Discrepancy 0 Refer to the above data. Consumption of fixed capital is:
a) $5. b) $10. c) $20. d) $30.