Chelsea wants to start her own Christmas ornament business. She can purchase a suitable factory that costs $100,000 . Chelsea currently has $150,000 in the bank earning 3 percent interest per year. Suppose Chelsea purchases the factory using $50,000 of her own money and $50,000 borrowed from a bank at an interest rate of 6 percent. What is Chelsea's annual opportunity cost of purchasing the

A decline in the desired level of capital and investment will result from ________

A) a rise in the real price of capital B) a decrease in the rate of depreciation C) a decrease in the real interest rate D) a decrease in the real price of capital

The market for U.S. cars was impacted significantly by consumers' options to buy which of the following?

(a) Used cars (b) New cars produced by U.S. producers (c) New cars produced by foreign producers (d) All of the above