Suppose two people with the same level of income and wealth have different discount rates. Joe has a very high discount rate and Jim has a very low discount rate. Which one of the following is TRUE?
A) Joe is more likely to borrow than Jim.
B) Joe is less likely to borrow than Jim.
C) Joe and Jim will borrow the same amount.
D) Neither Joe nor Jim would be borrowers.
A
Economics
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If interest rates fall, the M2 money multiplier:
a. Does not change. b. Rises because C/D and U/D rise, and N/D falls. c. Falls because C/D and U/D fall, and N/D falls. d. Falls because C/D, U/D, and N/D rise. e. Falls because C/D and U/D rise, and N/D falls.
Economics
The impact of higher taxes would be examined by
A) a microeconomist. B) a macroeconomist. C) both a macroeconomist and a microeconomist. D) neither a macroeconomist nor a microeconomist.
Economics