People will want to hold less money if the price level
a. increases or if the interest rate increases.
b. decreases or if the interest rate decreases.
c. increases or if the interest rate decreases.
d. decreases or if the interest rate increases.
d
You might also like to view...
Distinguish between scarcity and shortages
What will be an ideal response?
Which of the following is an example of the "damaged goods" strategy
a. A doll company selling dolls at cost but charging high margins on doll accessories b. A cell phone company offers free locked in phones but charges high prices per call c. A catering company pays its chefs higher wages to make sure that the bargain meals are just slightly burnt d. None of the Above
According to Keynesians, an increase in the money supply will have its least impact on GDP and the greatest impact on the price level when the aggregate demand curve intersects
a. the horizontal portion of the aggregate supply curve b. the vertical portion of the aggregate supply curve c. the upward sloping portion of the aggregate supply curve d. either the horizontal or upward sloping portion of the aggregate supply curve e. either the horizontal or upward sloping portion of the aggregate supply curve
In a laissez-faire economy, the price system plays a key role in
a. selecting outputs. b. selecting inputs. c. distributing outputs. d. All of the above are correct.