This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: At higher rates of interest A) businesses demand more investment because there are more funds ... (Read 77 times)

oliviahorn72

  • Hero Member
  • *****
  • Posts: 579
on: Jun 30, 2018
At higher rates of interest
 
  A) businesses demand more investment because there are more funds available to invest.
  B) businesses demand more investment because future profitability is likely to be greater.
  C) households save more because they get a greater return on their savings.
  D) households save less because it is more expensive to save.

Question 2

An individual holds 10,000 in a non-interest-earning checking account, and the overall price level rises significantly. Other things being constant, we would expect
 
  A) the individual's real wealth to decrease and consumption to decline.
  B) no change in the individual's real wealth but a decline in real national product.
  C) the individual's stock of real wealth to decrease but real national income to increase.
  D) the individual's wealth to increase.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

Qarqy

  • Sr. Member
  • ****
  • Posts: 313
Reply #1 on: Jun 30, 2018
Answer to Question 1

C

Answer to Question 2

A


oliviahorn72

  • Hero Member
  • *****
  • Posts: 579
Reply #2 on: Jun 30, 2018
Correct answers!


Qarqy

  • Sr. Member
  • ****
  • Posts: 313
Reply #3 on: Jun 30, 2018
Great! Please up vote :D


« previous next »
 

Did you know?

People with alcoholism are at a much greater risk of malnutrition than are other people and usually exhibit low levels of most vitamins (especially folic acid). This is because alcohol often takes the place of 50% of their daily intake of calories, with little nutritional value contained in it.

Did you know?

Lower drug doses for elderly patients should be used first, with titrations of the dose as tolerated to prevent unwanted drug-related pharmacodynamic effects.

Did you know?

Not getting enough sleep can greatly weaken the immune system. Lack of sleep makes you more likely to catch a cold, or more difficult to fight off an infection.

Did you know?

The senior population grows every year. Seniors older than 65 years of age now comprise more than 13% of the total population. However, women outlive men. In the 85-and-over age group, there are only 45 men to every 100 women.

Did you know?

Opium has influenced much of the world's most popular literature. The following authors were all opium users, of varying degrees: Lewis Carroll, Charles, Dickens, Arthur Conan Doyle, and Oscar Wilde.

Child Labor Rates and GDP Worldwide Child Labor Rates and GDP Worldwide
Table 6.1 illustrates the main regime types and their differences. It breaks the regimes into four Table 6.1 illustrates the main regime types and their differences. It breaks the regimes into four
How to calculate compound interest (Part 2) How to calculate compound interest (Part 2)
The demand for energy is met by burning coal and other fossil fuels The demand for energy is met by burning coal and other fossil fuels
Saving Rates by Income Quintile, 2003 Saving Rates by Income Quintile, 2003
The rates of police reported sexual offences The rates of police reported sexual offences
Video: DNA Sequences - Dideoxy Sequencing

For a complete list of videos, visit our video library