If real GDP decreases, there is
A) an upward movement along the demand for money curve and no shift of the curve.
B) a leftward shift of the demand for money curve.
C) no movement along the demand for money curve and the curve does not shift.
D) a downward movement along the demand for money curve and no shift of the curve.
E) a rightward shift of the demand for money curve.
B
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A borrower who takes out a loan usually has better information about the potential returns and risk of the investment projects he plans to undertake than does the lender. This inequality of information is called
A) moral hazard. B) asymmetric information. C) noncollateralized risk. D) adverse selection.
When a price rise of an asset can be justified by fundamental concepts and past experiences, then such a price rise does not constitute a classic bubble
a. True b. False Indicate whether the statement is true or false