Crusoe begins with an endowment A. Point R is the consumption combination he would choose at real interest rate r and point R´ is the consumption combination he would choose at real interest rate r´. Which of the following statements is true?
Crusoe's wealth has decreased because of the change in the real interest rate. Because Crusoe's endowment and preferences are such that he is a borrower, the increase in the interest rate hurts him. Note the MRS = 1+r at point R.
Statements: S = R, T ≤ U, O < J, T ≤ J, U > R
Conclusion:
I. R ≥ T
II. R < T
Which of the following symbols should replace (1) and (2), respectively in the given expression in order to make the expression X < H definitely true?
Statements: D < O = Q > U < I ≤ R; K ≥ O = I; R > H ≥ G
Conclusions:
I. R > O
II. K > U
III. H ≥ Q
Statements: R ≥ S > T; U < V ≤ T; V > W
Conclusions:
I. R > V
II. W < S
III. T > W
Statements: P % Q, P $ R, Q # S, R @ T
Conclusions:
I. R $ Q
II. S & T ...
In which of these expression ‘X > T’ is definitely True?
26. Statements: T @ V % Z # D & B $ S # E; W $ Z @ C
Conclusions : I. E @ Z ...
Statements: L ≤ M = N ≤ O = Q; Z ≥ T > P = Q; L > R = S < V
Conclusions:
I. Z ≥ N
II. V > P
III. R < T
Statement: D > A ≥ R = B ≤ M < U
Conclusions:
I. U > R
II. D ≥ M
Statements: I < P = S ≥ O > W < E≤ G ≥ A
Conclusion
I: O ≤ P
II: G > O
