If wealth ________, then saving increases, which is shown by a ________
A) decreases; rightward shift of the supply of loanable funds curve
B) decreases; movement downward along the supply of loanable funds curve
C) increases; rightward shift of the supply of loanable funds curve
D) increases; leftward shift of the supply of loanable funds curve
E) increases; movement upward along the supply of loanable funds curve
A
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Of the following, the best example of private information is when
A) Michael knows the price of a gallon of milk at the minimart but Michelle doesn't know. B) you know some of your used car's defects but a potential buyer cannot find out about them until after buying. C) you don't know the quality of a used car and must hire a trained mechanic who tells you all its defects. D) you pay the owner of a used car a little extra and she lets you know all of the car's defects.
Suppose that Brazil is capital abundant and Chile is natural resource abundant. If timber is natural resource intensive and computers are capital intensive, then according to the Heckscher-Ohlin Theorem, Chile should export goods that
A) intensively use labor input. B) intensively use capital input. C) intensively use natural resources. D) use capital and labor in about equal proportions.