The Private Supply of Credit Is an Increasing Function of the Real

question 42

Multiple Choice

The private supply of credit is an increasing function of the real interest rate if

• A)the income effects outweighs the substitution effects when added across all consumers.
• B)the income effect outweighs the substitution effects for borrowers.
• C)the substitution effects outweighs the income effects when added across all consumers.
• D)the substitution and income effects cancel each other.
• E)consumers are rational.

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Definitions:

Mental States

Conditions of the mind that can influence behavior and perception, such as thoughts, feelings, beliefs, and desires.

False Belief Tasks

Tasks used in developmental psychology to assess the understanding that other people can hold beliefs about the world that are different from one's own and may be false.

Autism Spectrum Disorder

A range of neurodevelopmental conditions characterized by challenges with social skills, repetitive behaviors, and communication.

Autism Spectrum Disorder

A developmental disorder characterized by challenges with social communication, behavior, and flexibility in thought and action.