1. The current bank interest is 10%. You borrow $20,000 from the bank as well as invest $20,000 of your own money in a new business for a year. Detail the obvious costs and the implicit costs (hidden opportunity costs) for both amounts of money you are investing.? 2. Would you rather have higher inflation or higher unemployment? What are the reasons behind your personal choices? 3. Banks, like other businesses, operate to make profits. Are there reasons why banks should be subject to more government regulations than, for example a shoe store or dollar store? Explain your answer. 4. Recently, the Bank of Canada increased its target for the overnight rate in order to provide support to Canada's financial system. Explain how this change affects your decision to buy or not your own house