A bank has a 20 percent reserve requirement, $8,000 in loans, and has loaned out all it can given the reserve requirement

Refer to the budget line shown in the diagram above. Given the same money income, reductions in the prices of both products C and D will:

A) shift the budget line outward on the horizontal axis, but leave it anchored at "10" on the vertical axis. B) shift the budget line to the left. C) shift the budget line to the right. D) have no effect on the budget line.

Assume the players in a game have reached a Nash equilibrium. It is then reasonable to assume that each player has chosen its dominant strategy

Indicate whether the statement is true or false