1. All else equal, if the borrowing rate of interest decreases, the feasible frontier for the borrower willpivot and the amount which can be consumed in the present will .
2. Recent innovations in cocoa bean harvesting technology has made it possible for workers to receive more cocoa beans per plant. What is the likely effect on the market for cocoa beans? Assume the cocoa bean market is initially in a competitive equilibrium.
3. If the amount of credit card borrowing increases as the borrowing limit on credit cards is increased, we can assume that the consumer was...

Select one:

a.credit-constrained

b.not maximizing their utility

c.unemployed

d.credit-excluded