At higher interest rates, people will hold more money.
a. true
b. false
Ans: b. false
You might also like to view...
Which of the following is NOT a part of the monetary base?
A) Chemical Bank's deposits of reserves at the Fed B) First Bank's required reserves held at the Federal Reserve C) currency D) U.S. government securities owned by the Fed
Which of the following would cause the money demand curve to shift to the left?
A. An increase in interest rates B. Inflation C. A technological advance, like online shopping D. An increase in GDP
If income rises in the market for an inferior good, will the demand curve for the inferior good shift to the right or to the left?
When services are provided and financed by local rather than higher levels of government and people can move freely among governmental units,
What will be an ideal response?