Other things the same an increase in the interest rate
a. increases national saving, this is shown by moving along the demand for loanable funds curve.
b. increases national saving, this is shown by moving along the supply of loanable funds curve.
c. decreases national saving, this is shown by moving along the demand for loanable funds curve.
d. decreases national saving, this is shown by moving along the supply of loanable funds curve.
b
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The basic RBC model produces ________ movements in the real wage, which in fact are ________ in the statistical evidence
A) countercyclical, found B) countercyclical, not found C) procyclical, found D) procyclical, not found
Which of the following is a component part of investment spending?
A) the purchase of a new microwave by a fast food restaurant B) the purchase of 500 shares of corporate stock C) the sale of 500 shares of corporate stock D) all of the above