If Fluctuations in Interest Rates Become Smaller,then,other Things Equal,the Demand

question 14

Multiple Choice

If fluctuations in interest rates become smaller,then,other things equal,the demand for stocks ________ and the demand for long-term bonds ________.

• A)increases;increases
• B)increases;decreases
• C)decreases;decreases
• D)decreases;increases

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Definitions:

Average Total Cost

The total cost of production divided by the quantity produced, also known as cost per unit.

Microsoft Windows

An operating system developed by Microsoft Corporation, widely used in personal computers and devices.

Kodak Disc

A film format introduced by Kodak in the 1980s for still photography, using a disc-shaped film cassette, now mostly obsolete.

Marginal Utility

The incremental pleasure or usefulness attained by consuming an extra unit of a good or service.