Game theory provides us with a general approach to understanding the behavior of firms when their choices are interdependent

An increase in real interest rates will ________ current consumption for households who are lenders and will ________ current consumption for households who are borrowers

A) increase; decrease B) decrease; increase C) have an unclear effect on; decrease D) decrease; have an unclear effect on

The official poverty rate for the United States is currently set at ____ times the cost of providing a nutritionally adequate diet

a. two b. three c. five d. eight