Other Things the Same,an Increase in the U

question 27

Multiple Choice

Other things the same,an increase in the U.S.interest rate

• A)raises net capital outflow which decreases the quantity of loanable funds demanded.
• B)raises net capital outflow which increases the quantity of loanable funds demanded.
• C)lowers net capital outflow which decreases the quantity of loanable funds demanded.
• D)lowers net capital outflow which increases the quantity of loanable funds demanded.

Calculate probabilities and variances using the Normal distribution and its properties.

Apply the concept of a sampling distribution to estimate population parameters.

Understand and calculate the standard deviation of a sampling distribution.

Recognize and distinguish between discrete and continuous probability distributions.

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Definitions:

Marginal Analysis

A review of the extra advantages gained from an activity in relation to the extra expenses it generates.

Benefit

The advantage or gain received from a decision, action, or policy, often used in the analysis of choices in economics.

Bounded Rationality

A basis for decision making that leads to a choice that is close to but not exactly the one that leads to the best possible economic outcome; the “good enough” method of decision making.

Closeout Sale

A type of sale with significantly reduced prices, aimed at clearing out inventory.