An excess demand for money will result in all the following, except:
a. an excess supply of bonds.
b. a rise in investment spending.
c. a fall in bond prices.
d. a fall in consumption spending.
e. a fall in equilibrium real GDP.
b
You might also like to view...
In 1985, Alice paid $20,000 for an option to purchase ten acres of land. By paying the $20,000, she bought the right to buy the land for $100,000 in 1992. When she acquired the option in 1985, the land was worth $120,000
In 1992, it is worth $110,000. Should Alice exercise the option and pay $100,000 for the land? A) Yes. B) No. C) It depends on what the rate of inflation was between 1985 and 1992. D) It depends on what the rate of interest was.
The price elasticity of demand for a vertical demand curve is:
a. 0. b. -1. c. 1. d. - infinity.
Conservatives and liberals ___ on the causes of poverty and ___ on how to solve the poverty problem.
A. agree; agree B. agree; disagree C. disagree; agree D. disagree; disagree
Refer to the following graphs.
Which of the graphs correctly labels the axes of the AS/AD model?
A. A B. B C. C D. D