Gross Domestic Product Requires

question 3

Multiple Choice

Gross domestic product requires

• A) inflation equal to the nominal rate of interest,which means lending equals borrowing.
• B) investment,which requires borrowing,which requires a functioning loanable funds market.
• C) borrowing,which requires the real rate of interest to be equal to inflation,which requires a functioning loanable funds market.
• D) borrowing,which requires sufficiently high interest rates to prevent free riders.
• E) investment,which requires borrowing,which requires sufficiently low interest rates to prevent free riders.

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Definitions:

Flexor

The muscle of a muscle team that bends a part.

Skeletal Muscle

A type of muscle that is connected to bones and is involved in the movement of body parts voluntarily.

Extensor

The muscle of a muscle team that extends a part, allowing the joint to straighten.

Skeletal Muscle

A type of striated muscle that is attached to the bones of the skeleton and is under voluntary control, responsible for movement.