Author Question: Loanable funds refers to A) only those funds loaned from one bank to another. B) only those ... (Read 111 times)

BRWH · **on:** Jun 30, 2018

Loanable funds refers to

A) only those funds loaned from one bank to another.
B) only those funds loaned to banks by the Federal Reserve.
C) only those funds loaned by banks to private individuals.
D) all those funds changing hands between lenders and borrowers in the bond market.

Question 2

An intertemporal budget constraint ________.

A) describes how much time an individual consumer has to spend their disposable net national product
B) is independent of the real interest rate and wealth of the household
C) divides consumption spending into three categories: spending on durables, non-durables and services
D) describes how much a person can consume today versus tomorrow