Which of the Following Generalizations Is False? Other Things Equal

question 51

Multiple Choice

Which of the following generalizations is false? Other things equal,

• A) interest rates are higher if lenders are imperfectly, rather than purely, competitive.
• B) the interest rate is less on small loans than on larger loans.
• C) long-term loans normally command higher interest rates than short-term loans.
• D) the greater the risk on a loan, the greater the interest rate.

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Definitions:

Neutral Stimulus

A stimulus that initially produces no specific response other than focusing attention, which can become conditioned to elicit a response through association with an unconditioned stimulus.

Observational Learning

a learning process through watching others, then imitating or modeling the observed behaviors.

Taste Aversion

A learned avoidance of a particular food or drink because it was followed by a negative reaction, such as nausea or vomiting.

Nausea-Producing Toxins

Substances that induce the sensation of nausea, potentially as a defense mechanism or due to pathological conditions.