Which of the following would cause the demand for loanable funds to increase?
a) A reduction in consumer confidence that causes people to save more.
b) A new investment tax credit for businesses to expand.
c) A major sporting event in town that causes people to withdrawl money from their bank accounts.
d) A reduction in government spending.
Ans: b) A new investment tax credit for businesses to expand.
Economics
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Which of the following generally becomes positive when the value of U.S. exports exceeds the value of U.S. imports?
A) capital and financial account B) the balance of payments account C) current account D) the official settlements account E) the exchange rate
Economics
Which of the following commodities have a high short-run own-price elasticity of supply?
a. Livestock b. Petroleum c. Food crops d. Diamonds
Economics