The interest-rate-based approach to monetary policy says that a change in the money supply influences aggregate demand by
A. changing consumer consumption behavior as they adjust to a change in the number of dollars available.
B. a change in interest rates which changes investment.
C. leading to shifts of the short-run aggregate supply curve.
D. following the monetary rule.
Answer: B
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In the circular flow model, which of the following owns the factors of production?
A) only federal, state, and local governments B) only households C) only firms D) both firms and households E) firms, households, and all levels of government
________ is ?TR/?q.
A. Average revenue B. Economic profit C. Marginal cost D. Marginal revenue
A financial security that represents a promise to repay a fixed amount of funds is a
A) share of stock. B) bond. C) dividend. D) coupon.
Recall the Added Perspective on the prisoner's dilemma. When there is a prisoner's dilemma,
a. the prisoners stick to a joint strategy b. each prisoner's best strategy is not to confess c. the prisoners must make a once-and-for-all decision d. game theory does not apply e. there is no mutual interdependence