If an indifference map for a consumer is made up of straight, negatively sloped lines, the goods are

If the real interest rate is below equilibrium, which of the following is likely to occur? a. Lenders will raise their interest rates which will encourage saving

b. Lenders will raise their interest rates which will encourage borrowing. c. Lenders will lower their interest rates which will encourage saving. d. Lenders will lower their interest rates which will encourage borrowing.

The marginal propensity to consume is equal to the slope of the consumption function

Indicate whether the statement is true or false