Following a decrease in government spending, as the price level falls we would expect the level of interest rates to ________ and investment to ________

A) decrease; decrease
B) decrease; increase
C) increase; decrease
D) increase; increase

Answer: B

Economics

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Total cost falls when marginal cost is ________, and total cost rises when marginal cost is ________

A) negative; positive B) positive; negative C) zero; negative D) zero; positive

Economics

It is virtually impossible to save or lend nowadays without __________ being involved

A) traded securities B) financial intermediaries C) direct finance D) disintermediation

Economics