If the nominal interest rate is high and rising, a possible cause is

For banks, net interest income is becoming a __________ proportion of their total operating income as the banks are __________ nontraditional sources of revenue

A) rising; shifting into B) rising; pulling out of C) falling; shifting into D) falling; pulling out of

Why do externalities arise?

a. The costs of production are not borne by the producer. b. An economic activity imposes a burden on those who are not directly involved in it. c. The consumption of a public good is nonexcludable. d. The government produces goods and services which are consumed by only a particular group of people. e. Goods of mass consumption are not produced as they do not yield profit for the producers.