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Author Question: The demand curve for loanable funds is downward sloping because: a. people save more at higher ... (Read 92 times)

HudsonKB16

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on: Jun 30, 2018
The demand curve for loanable funds is downward sloping because:
 a. people save more at higher interest rates.
 b. more investments are profitable at low interest rates than at high interest rates.
 c. future income is more valuable now at higher interest rates than at lower interest rates.
 d. usury laws increase the quantity of funds demanded at low interest rates but do not affect the quantity of funds demanded at high interest rates.

Question 2

Vertical integration of the different stages of spun yarn production increases transaction costs and the risk of opportunism since each stage employs highly specific assets.
  Indicate whether the statement is true or false


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jsm54321

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Reply #1 on: Jun 30, 2018
Answer to Question 1

b

Answer to Question 2

F


HudsonKB16

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Reply #2 on: Jun 30, 2018
Thank you


jsm54321

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Reply #3 on: Jun 30, 2018
No problemo


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