Author Question: Suppose the real interest rate rises and the quantity of loanable funds increases. These changes ... (Read 123 times)

jazziefee · **on:** Jun 29, 2018

Suppose the real interest rate rises and the quantity of loanable funds increases. These changes could have been the result of

A) firms expecting higher future profits.
B) firms expecting lower future profits.
C) households expecting higher future income.
D) in increase in the default risk.

Question 2

An increase in labor productivity relates to

A) working harder over time.
B) working longer over time.
C) producing the same output with fewer labor hours.
D) producing the same output with more labor hours.