1. Arrows up or down. In the application on consumer loans in South Africa, the loan uptake rate _________ as the interest rate decreased and _________ when the model on the offer was switched from a man to a woman. (Related to Application 4 on page 188.)
2. Advertising for Loans. Consider the numbers provided in Application 4 on South African consumer loans. Suppose a lender initially charges an interest rate of 10 percent and uses male models in its advertisements. The firm wants to increase its uptake rate among male consumers. Suppose the firm switches to female models in its advertisements. The male uptake rate will increase by ________ (1, 3, 8, 25) percent