People have a demand for liquidity because
A) liquidity increases one's options.
B) the rate of interest is positive.
C) they have confidence in their own future earning power.
D) they prefer present goods to future goods.
A
Economics
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Inflation: a. always reduces real income
b. never reduces real income. c. reduces the real income of workers when wages increase more than prices do. d. reduces the real income of workers when wages increase less than prices do. e. increases the real income of workers only when wages increase less than prices do.
Economics
If a perfectly competitive industry uses a large proportion of the available inputs in a resource market, then the long-run market supply curve for the industry will most likely be: a. vertical
b. horizontal. c. upward sloping. d. downward sloping.
Economics