Rising government expenditure, through its effect on the real interest rate, ________ v* and thus ________ net investment

The longer any price change lasts over time, the

A) more difficult it is to alter quantity demanded. B) the more quickly quantity demanded will return to its original level. C) the longer the short-run equilibrium will continue to be the short-run equilibrium. D) more quantity demanded will change.

If Johanna purchases a bond for $4,500 that promises to pay her $5,000 one year later, what is the interest rate on the bond?

a. 5.3 percent b. 5.6 percent c. 10.0 percent d. 11.1 percent e. 10.5 percent