An increase in the money supply will

A) increase the interest rate.
B) decrease the interest rate.
C) have no affect on the interest rate.
D) decrease the equilibrium quantity of money in the economy.


Answer: B

Economics

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Answer the following statement true (T) or false (F)

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A) production must occur where average cost is minimized. B) market price exceeds marginal cost. C) total revenue is maximized. D) marginal revenue equals marginal cost.

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Why is the change in reserve requirement not frequently used to control the supply of money?

Economics