Question
48. Each of the following factors will tend to INCREASE the supply of Loanable Funds a. Individuals save more b. Lenders are optimistic about future
48. Each of the following factors will tend to INCREASE the supply of Loanable Funds
a. Individuals save more b. Lenders are optimistic about future business prospects c. The Federal Reserve increases interest rates d. The Federal Reserve conducts open-market operations and buys government securities
49. Warren Buffett, one of the greatest investors, has earned roughly 20% per year for about 50 years. You win the lottery which will pay you $50 million in 50 years. If the discount rate is 20% per year, which of the following is closest to how much is your winnings worth today?
a. $50 million
b. $5,000 c. $1 million
d. $5 million
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