When the real interest rate rises
A) there is a downward movement along the demand for loanable funds curve.
B) there is an upward movement along the demand for loanable funds curve.
C) the demand for loanable funds curve shifts rightward.
D) the demand for loanable funds curve shifts leftward.
B
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A lower price elasticity of demand coefficient occurs when:
a. many substitutes exist. b. the quantity demanded is more responsive. c. few substitutes exist. d. the market is broadly defined.
Which of the following statements best describes one of the schools of thought regarding the “new economy” controversy?
a. Increased military spending post-9/11 has contributed to the growth in U.S. productivity. b. Extraordinary advances in communications and information technology have contributed to the growth in U.S. productivity. c. The increase in immigration has contributed to the growth in U.S. productivity. d. The aging U.S. population has contributed to the growth in U.S. productivity.