Competition for votes between two political parties will cause those parties to
A) produce quite different policy proposals.
B) have very similar policy proposals.
C) find ways to clearly distinguish themselves in order to give voters a clear choice.
D) a and c
E) none of the above
B
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An individual who is a risk lover
a. values a lottery at more than its expected value b. values a lottery at exactly its expected value c. values a lottery at less than its expected value d. tends to play lots of lotteries
An increase in the real interest rate in the United States changes the quantity of loanable funds demanded because
a. U.S. residents will want to buy more foreign assets. b. Foreign residents will want to buy more U.S. goods and services. c. U.S. firms will want to purchase fewer U.S. capital goods. d. All of the above are correct.