1. The demand for borrowed funds is
a. directly related to the interest rate.
b. inversely related to the growth in gross domestic product.
c. a derived demand.
d. leads to derived demand for capital goods.
2. The income of Lebron James, for example, is determined by
a. the position of the demand curve.
b. the number of athletes in the NBA.
c. his supply curve for labor services.
d. marginal rent.
3. The income to someone such as Lebron James is
a. mostly pure rent.
b. composed of a payment necessary to induce him into employment plus economic rent.
c. a return to a factor in fixed supply; there is only one of him.
d. All of the above are correct.