Author Question: Intertemporal choice theory is more consistent with ________. A) Keynesian theory than the ... (Read 94 times)

karlynnae

  • Hero Member
  • *****
  • Posts: 599
Intertemporal choice theory is more consistent with ________.
 
  A) Keynesian theory than the permanent income hypothesis of Friedman
  B) the permanent income hypothesis than Keynesian theory
  C) Keynesian theory than the life-cycle hypothesis
  D) Keynesian theory than the Gini coefficient theory

Question 2

An increase in financial frictions results in ________.
 
  A) an increase in output and inflation
  B) a rise in the interest rate set by monetary policy
  C) a decline in the real interest rates faced by households and firms
  D) a decline in the interest rate set by monetary policy



yasmina

  • Sr. Member
  • ****
  • Posts: 323
Answer to Question 1

B

Answer to Question 2

D



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

Drug-induced pharmacodynamic effects manifested in older adults include drug-induced renal toxicity, which can be a major factor when these adults are experiencing other kidney problems.

Did you know?

The highest suicide rate in the United States is among people ages 65 years and older. Almost 15% of people in this age group commit suicide every year.

Did you know?

Looking at the sun may not only cause headache and distort your vision temporarily, but it can also cause permanent eye damage. Any exposure to sunlight adds to the cumulative effects of ultraviolet (UV) radiation on your eyes. UV exposure has been linked to eye disorders such as macular degeneration, solar retinitis, and corneal dystrophies.

Did you know?

Alcohol acts as a diuretic. Eight ounces of water is needed to metabolize just 1 ounce of alcohol.

Did you know?

Certain topical medications such as clotrimazole and betamethasone are not approved for use in children younger than 12 years of age. They must be used very cautiously, as directed by a doctor, to treat any child. Children have a much greater response to topical steroid medications.

For a complete list of videos, visit our video library