Refer to the table. An interest rate of 2 percent is not sustainable because:
A. the demand for bonds in the bond market will fall and the interest rate will fall.
B. the demand for bonds in the bond market will rise and the interest rate will fall.
C. the supply of bonds in the bond market will decline and the interest rate will rise.
D. the supply of bonds in the bond market will rise and the interest rate will rise.
D. the supply of bonds in the bond market will rise and the interest rate will rise.
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Which of the following statements is true?
A) In cases of auctions and bilateral negotiations, prices tend to approach the competitive equilibrium. B) Bilateral negotiations allow a single buyer and a single seller to privately negotiate with bids and asks. C) In auctions, buyers prefer buying from sellers with the highest ask prices. D) In auctions, sellers prefer selling to buyers with the lowest bid prices.
Which of the following is an example of a transfer payment?
a. purchase of a producer good b. purchase of a service c. fixed investment d. farm subsidy