Credit histories allow firms to ( A) identify high-risk borrowers, so they can be eliminated and interest rates kept down for others. (B) increase the number of credit cards issued, and interest rates go up as a result. (C) increase the number of credit cards issued, and interest rates go down as a result D) lower the number of credit cards issued, and interest rates go up as a result (E) increase market power in the credit card industry, raising interest rates.

Credit histories allow firms to ( A) identify high-risk borrowers, so they can be eliminated and interest rates kept down for others. (B) increase the number of credit cards issued, and interest rates go up as a result. (C) increase the number of credit cards issued, and interest rates go down as a result D) lower the number of credit cards issued, and interest rates go up as a result (E) increase market power in the credit card industry, raising interest rates.

Economics Today and Tomorrow, Student Edition

1st Edition

ISBN:9780078747663

Author:McGraw-Hill

Publisher:McGraw-Hill

Chapter4: Going Into Debt

Section4.3: Applying For Credit

Problem 5R

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