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amount of risk have a rate of return In general, financial assets that have a a. higher; higher b. higher; lower c. lower; higher d. None of these is true, 26. In an economy without government or trade, it must be true that: a. savings equals investment b. consumption equals savings plus investment c. consumption plus savings equal investment. d. consumption plus investment equal national savings 27. 28. Bartering is: a. very efficient compared to using money. b. slightly inefficient compared to using money. C. just as efficient as using money. d. extremely inefficient compared to using money. 29. Fiat money is: a. any form of money that can be legall hanged into a fixed amount of an b. c. d. underlying commodity money created by rule. money used for the exchange of large commodities None of these is true. 30. Banks create money in the economy by: a. loaning out part of each deposit, which will be redeposited by someone else b. charging higher interest on loans than savings c. charging higher interest on savings than loans d. Only the government can create money.

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