--%>
Assignment Help - homework help

Real interest rate in saving and investment

When the real interest rate : (w) is low, there are greater incentives to borrow and fewer incentives to lend. (x) is low, there are greater incentives to lend and fewer incentives to borrow. (y) equals the nominal interest rate + the expected rate of inflation. (z) is 3%, this automatically means that the nominal cost of borrowing equals 3%.

Can someone explain/help me with best solution about problem of Economics ...

   Related Questions in Microeconomics

  • Q : Cut in prices of Complementary Goods

    The demand for gasoline would rise rapidly after a fifty percent: (i) Drop in the price of crude oil. (ii) Discovery of main latest oil supplies. (iii) Cut in public transportation fares. (iv) Cut in latest car prices.

    Q : Problem concerning Exploitation I have

    I have a problem in economics on Problem concerning Exploitation. Please help me in the given question. Whenever resource suppliers are salaried less than the values of their marginal products [or VMPs], then they are stated to be: (i) Monopsonistic.

    		•
  • Q : Interest rates of business investors in

    The interest rates business investors into economic capital should pay on a loan: (w) reflect the opportunity costs to society of funding one investment in place of another. (x) are relatively trivial investment costs by investors&rsq

    		•
  • Q : In the quintile distribution of income

    In the quintile distribution of income, the term "quintile" represents

    		•
  • Q : Illustrate normative statement In

    In economics illustrate normative statement?

    		•
  • Q : Spending on rail safety ‘How be

    ‘How be supposed to the government decide whether to spend in additional rail safety measures?’

    		•
  • Q : Prices and costs in monopoly market

    When this monopoly generates Q units: (1) P > MC. (2) MR = MC. (3) total revenue total cost is maximized. (4) MSB > MSC. (5) All of the above.

    Q : Present Value and Capitalization The

    The market value of an asset or potential investment project is most specific to rise when typical investors expect: (w) after-tax rates of return by investing to exceed the interest rate applicable for assets or investments along wit

    		•
  • Q : Complete equilibrium by distribution of

    When the economy was in a complete equilibrium, in that case the distribution of income would be precisely proportional to the distribution of: (a) taxation. (b) inheritance. (c) luck. (d) wealth.

  • Q : Economic profits with average total

    A monopolist can produce economic profits while: (w) average fixed costs [AFC] are very high. (x) average total costs [ATC] lies above the demand curve. (y) at least some portion of the average total costs [ATC] curve lies below the d

    		•