An increase in the money supply is likely to decrease:
A) prices.
B) nominal income.
C) money demand.
D) interest rates.
Ans: D) interest rates.
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Marginal product equals 0 when:
A) average product equals zero. B) total product equals average product. C) average product reached its minimum value. D) total product reaches its maximum value.
In a market economy, what must an entrepreneur do in order to be successful?
a. purchase resources at lower prices than rivals b. produce a good that can be sold for more than its production cost c. obtain large subsidies from the government d. hire workers at low wage rates
GDP per capita is a relatively good measurement of:
a. the distribution of income. b. purchasing power. c. household production. d. the standard of living.
When a price ceiling which had been set below equilibrium price is removed, what happens next?
A. quantity supplied rises. B. quantity demanded falls. C. price rises. D. all of the choices.