The assumption that people may choose to hold excess money balances when there is an increase in the money supply is emphasized by

A) supply-side economists.
B) Monetarists.
C) Keynesians.
D) rational expectations theorists.


C

Economics

You might also like to view...

Assuming all else equal, if a bank expects a bank run in the future:

A) there will be an upward movement along its demand curve for reserves. B) its demand curve for reserves will shift to the left. C) there will be a downward movement along its demand curve for reserves. D) its demand curve for reserves will shift to the right.

Economics

From the economic point of view, profit is

A) a four-letter word. B) the same as loss. C) the result of uncertainty. D) a sign of economic injustice. E) none of the above.

Economics

Refer to the Article Summary. What happens to the profit a car company makes on each car sold if it offers incentives such as discounts, cash rebates, or lease incentives to customers? How might a car company decide which of these strategies to use

What will be an ideal response?

Economics

If there is a deliberate change in taxes and spending, it is called

A) a recessionary gap. B) an inflationary gap. C) discretionary fiscal policy. D) discretionary monetary policy.

Economics