The supply of loanable funds curve has a positive slope because the

A) lower the real interest rate, the higher the return to saving.
B) lower the real interest rate, the lower the return to saving.
C) average return in the stock market is directly related to the real interest rate.
D) quantity of investment increases when the real interest rate increases.
E) higher the real interest rate, the lower the return to saving.

B

Economics

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If the actual unemployment rate is less than the natural rate of unemployment, there will be a tendency toward:

a. increased inflation and a leftward shift of the short-run Phillips curve. b. decreased inflation and a rightward shift of the short-run Phillips curve. c. increased inflation and a rightward shift of the short-run Phillips curve. d. decreased inflation and a leftward shift of the short-run Phillips curve.

Economics

Suppose Acme and Mega produce and sell identical products and face zero marginal and average cost. Below is the market demand curve for their product. For a monopolist facing this demand curve, the profit-maximizing quantity is ________ and the profit-maximizing price is ________.

A. 50; $3 B. 100; $2 C. 50; $2 D. 100; $1

Economics