An increase in the nominal interest rate increases the quantity ...

[colton]

An increase in the nominal interest rate increases the quantity of credit card services because
 
  A) bank profits go up.
  B) of intertemporal substitution.
  C) the opportunity cost of making transactions with money has risen.
  D) the substitution effect is greater than the income effect.

Question 2

Gross income net of taxes is known as ________.
 
  A) Gross Domestic Product, or GDP
  B) disposable income
  C) Gross Domestic Product per capita
  D) retained earnings

[Liamb2179]

Answer to Question 1

C

Answer to Question 2

B

[colton]

Thanks for the timely response, appreciate it

[meganmoser117]

Gracias!