Provide an Appropriate Response

question 94

Multiple Choice

Provide an appropriate response.
-Classify the statement as an example of classical probability, empirical probability, or subjective probability. The probability that interest rates will rise during the summer is 0.05.

• A)subjective probability
• B)classical probability
• C)empirical probability

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Definitions:

Capital Flight

A phenomenon where money or assets rapidly flow out of a country, often in response to economic or political instability.

Loanable Funds

A term in economics that refers to all the money available for borrowing, encompassing both savings and credits created in the banking system.

National Saving

The total amount of savings generated within a country, which is equal to the sum of private and public savings.

Government Expenditures

The total amount of money that a government spends in a specific period, including spending on public services, welfare, and infrastructure.