Multiple Choice
When the rate of interest (or price of capital) increases, the
A) quantity demanded of loanable funds by the firm will decrease
B) quantity demanded of loanable funds by the firm will increase
C) firm's MRP of capital increases
D) firm's MPP of capital increases
E) firm's MRP of capital decreases
Correct Answer:

Verified
Correct Answer:
Verified
Q37: A decrease in population can be expected
Q38: Which of the following could cause the
Q39: To derive the marginal physical product of
Q40: A factor of production with unique attributes
Q41: For providing their resources to firms, workers,
Q43: In a perfectly competitive capital market, when
Q44: A government-imposed price floor in the tobacco
Q45: When the rate of interest (or price
Q46: Suppose Frank quits his $25,000 a year
Q47: A violinist will take no less than