Consider the indifference maps shown above. If X and Y are perfect substitutes, your indifference curves between them would look like those in

Japan has a fairly high saving rate and the level of saving in Japan is above domestic investment. Use the saving and investment equation to explain what Japan is doing with this excess of saving above domestic investment

What will be an ideal response?

A loan officer uses a credit scoring system to

A) compare the interest rate on a loan to interest rates on other assets with comparable risk. B) keep track of the fraction of a bank's assets tied up in loans to a single individual or business. C) predict statistically whether an individual is likely to default on a loan. D) match any particular loan with the deposits being used to fund it.