According to the household nominal budget constraint, PC+ 
B+P• 
K = 
+ wL + i(B + PK) , households can use their income to:
A) acquire more money.
B) acquire more bonds.
C) pay more wages.
D) all of the above.
Correct Answer:
Verified
Q30: If a household this week produces 20
Q31: The profit in the model is:
A)output -
Q32: According to the household nominal budget constraint,
Q33: The rate of return from owning capital
Q34: If the rental price of a capital
Q36: In the model the nominal interest rate
Q37: The principal of a bond is:
A)the amount
Q38: In the model the nominal interest rate
Q39: Over all household's bonds, B, must total
Q40: The household real budget constraint C +
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