Which of the following is likely to be an effect of inflation?
a. An increase in the willingness of lenders to lend money for longer periods
b. A decrease in the willingness of borrowers to borrow money for longer periods
c. A decrease in the purchasing power of lenders in the economy
d. An increase in the willingness of people to buy bonds as a hedge against rising prices
e. An increase in the willingness of people to buy physical assets as a hedge against rising prices
c
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An unusually warm winter shifts the
A) supply curve of gloves rightward. B) supply curve of gloves leftward. C) demand curve for gloves rightward. D) demand curve for gloves leftward.
Since there are many special interests lobbying in favor of different tax changes but no special interests lobbying in favor of the public interest, this suggests that tax code changes will _____
a. lead towards more regressive taxation b. will favor special interests c. not be in the direction of efficiency d. b and c