The demand for money is downward sloping, because at higher interest rates
A) the opportunity cost of holding money is higher.
B) the opportunity cost of holding money is decreasing.
C) the opportunity cost of holding money is constant.
D) the opportunity cost of holding cash is lower.
A
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John Maynard Keynes wrote that economies can suffer recession or depression for many years if the government does not intervene.
Answer the following statement true (T) or false (F)
A market basket:
A. looks like a really long shopping list for what firm’s typically purchase. B. includes specific goods and services in fixed quantities that roughly correspond to a typical consumer's spending. C. onlyincludes housing, food, and clothing, but not things like transportation. D. is what an economist creates in order to understand purchasing trends of households and firms.
Voluntary exchange requires that there must be mutual gain
a. True b. False Indicate whether the statement is true or false
An expansionary monetary policy may be less effective than a restrictive monetary policy because
What will be an ideal response?