When the Economy Enters into a Boom,normally the Demand for Bonds

question 92

Multiple Choice

When the economy enters into a boom,normally the demand for bonds ________, the supply of bonds ________,and the interest rate ________.

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

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Definitions:

Excludable

A characteristic of a good where its use can be restricted to only those who pay for it.

Rival in Consumption

A good or service is considered a rival in consumption if its use by one individual diminishes the availability or quality for others.

Whales

Large aquatic mammals known for their size, intelligence, and complex social structures, belonging to the order Cetacea.

Types of Goods

Classification of goods based on characteristics such as excludability, rivalry in consumption, and the nature of the product (e.g., public goods, private goods, club goods).