Which of the following does not increase (i.e., shift) the supply curve of real loanable funds?
a. Open market purchases of government securities by the central bank.
b. A decrease in the discount rate.
c. A decrease in the reserve ratio by the central bank.
d. A decrease in the preferred asset ratio for near money (N/D), due to a shift in household preferences.
e. All of the above increase the supply.
.D
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In trying to determine the "true cost" of some debated proposal,
A) actions have no true cost, only benefits. B) actions will entail different costs for different people. C) the costs of actions must ultimately be the same for everyone. D) there is no difference between costs and benefits.
The budget of an economy is said to be in deficit when: a. federal outlays exceed revenues
b. federal revenues exceed outlays. c. anticipated inflation rate exceeds its actual rate. d. there is a loss of value of a country's currency with respect to one or more foreign reference currencies. e. anticipated interest rate exceeds its actual rate.
The government's fiscal policy is its plan to regulate aggregate demand by manipulating: a. the money supply
b. taxation and government purchases. c. the treasury. d. the energy department.
Bonds issued by state and local governments are called _____ bonds. Bonds issued by financially shaky corporations are called _____ bonds. Of these two, which type of bond usually pays a relatively higher interest rate?
Fill in the blank(s) with correct word