According to Economists, Short-Term Interest Rates Apply to Loans and Savings

question 33

Multiple Choice

According to economists, short-term interest rates apply to loans and savings _____, and long-term interest rates apply to loans and savings:

• A) when product markets are not at equilibrium; when product markets are at equilibrium.
• B) when all market adjustments have occurred; when markets have not yet completed all adjustments.
• C) for less than one year; for more than one year.
• D) when credit markets are at equilibrium; when credit markets have not yet adjusted to equilibriums.

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Definitions:

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Individuals holding positions of authority in government at the state level, responsible for implementing laws and policies.

Tenth Amendment

A change to the U.S. Constitution specifying that any powers not assigned to the federal government or banned by the Constitution from the states belong either to the state governments or to the citizens.

State Sovereignty

The concept that states possess independent authority and the right to govern themselves without external intervention, within their territorial boundaries.

Printz v. United States

A United States Supreme Court case that decided it was unconstitutional for the federal government to command states' law enforcement officers to enforce federal laws.