Multiple Choice
An important feature of the financial market crisis was
A) decreased interest rate spread on risky assets versus safe assets.
B) increased investment by firms.
C) an increase in the safe credit market interest rate, r.
D) increased financial market uncertainty.
E) a lower opportunity cost of investment.
Correct Answer:
Verified
Correct Answer:
Verified
Q56: The response of output following a natural
Q57: When drawn against the real interest rate,
Q58: When the real interest rate increases, the
Q59: If government spending increases then, given the
Q60: The equilibrium effects of a temporary increase
Q62: The output demand curve shows the<br>A) positive
Q63: How many of the following business cycle
Q64: An individual stock price<br>A) determines investment spending.<br>B)
Q65: The total government expenditure multiplier is less
Q66: When drawn against the real interest rate,