If there is an excess supply of money
A) individuals sell bonds, causing the interest rate to rise.
B) individuals sell bonds, causing the interest rate to fall.
C) individuals buy bonds, causing interest rates to fall.
D) individuals buy bonds, causing interest rates to rise.
C
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The interest-rate effect is the impact on real GDP caused by the direct relationship between the interest rate and the:
a. price level. b. exports. c. consumption. d. investment.
Liberals believe
a. that the government should choose just policies as evaluated by an impartial observer behind a "veil of ignorance.". b. in the assumption of diminishing marginal utility. c. that everyone in society should have equal utility. d. that the government should not redistribute income.
Which of the following is an accurate definition of a market?
a. a specific place where stocks are bought and sold b. a specific place where companies exchange goods c. a process of buyers and sellers exchanging goods and services d. a process of companies setting their preferred price
Reducing taxes on capital gains is an example of a supply-side tax cut.
Answer the following statement true (T) or false (F)