The demand for loanable funds curve shifts in response to changes in
A) the amount of household savings.
B) the expected future disposable income.
C) expected profits.
D) the real interest rate.
E) wealth.
C
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Suppose your neighbor owns a restaurant and boasts that he is able to turn a handsome accounting profit because of his low labor costs. He attributes this to the fact that he uses his sons and daughters as cooks and waiters
His point is that he offers them below-market wages. How would you respond to your neighbor's statement? What would you tell him to expect as his children continue to work for him while they are in college and beyond?
The supply of euros is managed by
A) the European Monetary Union. B) the European Monetary System. C) the European Central Bank. D) the European Bank for Reconstruction and Development.