_____________ Is the Process in Which Small Loans Are Given

question 12

Multiple Choice

_____________ is the process in which small loans are given to entrepreneurial individuals in developing counties in order to develop income that will benefit the individual as well as the local village through poverty reduction.

• A) Equity finance
• B) Macro finance
• C) Debt finance
• D) Microfinance

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Definitions:

Political Business Cycle Theory

A theory suggesting that elected officials may manipulate economic policies to produce favorable economic conditions ahead of elections to increase their chances of reelection.

Discount Rate

The interest rate on the loans that the Fed makes to banks.

Re-Elected

The act of being elected again for the same position or office after completing a term.

Short-Run Phillips Curve

An economic model suggesting an inverse relationship between the rate of inflation and the unemployment rate in the short term.