If an individual redeems a U.S. savings bond for currency
A) M1 stays the same and M2 decreases.
B) M1 increases and M2 increases.
C) M1 increases and M2 stays the same.
D) M1 stays the same and M2 stays the same.
B
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A nation that is a net borrower each year over time will become a ________ nation. A nation that is a net lender each year over time will become a ________ nation
Since the early 1980s, the United States has been a ________ due to the current account ________. A) creditor; debtor; net lender; surpluses B) creditor; debtor; net borrower; deficits C) debtor; creditor; net borrower; deficits D) creditor; debtor; net lender; deficits E) debtor; creditor; net lender; surpluses
In a system of flexible exchange rates, lower inflation abroad would induce
a. a rise in the U.S. exchange rate. b. a fall in the U.S. rate of exchange. c. a balance of payments deficit for the United States. d. no change in U.S. exchange rates.
If the demand for loanable funds shifts right, then
a. the real interest rate and the equilibrium quantity of loanable funds both fall. b. the real interest rate falls and the equilibrium quantity of loanable funds rises. c. the real interest rate and the equilibrium quantity of loanable funds both rise. d. the real interest rate rises and the equilibrium quantify of loanable funds falls.
A new policy is implemented that guarantees every adult an annual income of $10,000 whether they work or not. This will most likely shift the
A. labor supply curve to the left. B. labor demand curve to the left. C. labor supply curve to the right. D. labor demand curve to the right.