Which of the following is a tool of monetary policy?
A. Buying and selling government bonds
B. Making loans to banks
C. Setting reserve requirements
D. All of the above are tools of monetary policy.
D. All of the above are tools of monetary policy.
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Paper money, such as the U.S. dollar, the Israeli shekel, or the euro, that is not backed by and is not convertible into any other good, is called
a. gold-exempt money b. specie money c. paper-valued money d. government-generated money e. fiat money
Refer to the information provided in Figure 34.1 below to answer the question(s) that follow.
Figure 34.1Refer to Figure 34.1. The open economy multiplier is
A. 1.25. B. 2. C. 4. D. 8.
One example of a Phillips Curve would be a
A) positive relationship between deviations from trend in real and nominal interest rates. B) negative relationship between deviations from trend in real and nominal interest rates. C) positive relationship between deviations from trend in the level of prices and the level of aggregate economic activity. D) negative relationship between deviations from trend in the level of prices and the level of aggregate economic activity.
A 35,000 price tag on a new car is an example of money as
A) A time deposit B) A medium of exchange C) A unit of accounting D) A store of value