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Author Question: During business contractions, the growth rate of Solow residuals is ________. A) near or below ... (Read 96 times)

crobinson2013

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on: Jun 30, 2018
During business contractions, the growth rate of Solow residuals is ________.
 
  A) near or below zero
  B) well above zero
  C) approaching infinity
  D) impossible to calculate

Question 2

Suppose you have money to lend, but will do so only if you are compensated for the risk of default. If you set a high interest rate on your loan, a likely consequence is that ________.
 
  A) safe borrowers will look elsewhere, and only risky borrowers will find your terms attractive
  B) risky borrowers will look elsewhere, so your money is more likely to go to a safe borrower
  C) competition from other lenders will force you to lower your interest rate
  D) you will be prosecuted for predatory lending


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scottmt

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Reply #1 on: Jun 30, 2018
Answer to Question 1

A

Answer to Question 2

A


crobinson2013

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Reply 2 on: Jun 30, 2018
Great answer, keep it coming :)

nathang24

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Reply 3 on: Yesterday
Wow, this really help

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