The opportunity cost of holding money balances increases when:
A. the inflation rate decreases.
B. the interest rate increases.
C. the interest rate decreases.
D. GDP is far from full employment.
Answer: B
Economics
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A) progressive tax. B) proportional tax. C) premium tax. D) regressive tax.
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If Q = K1/2L1/2 the MPK is
a. constant b. diminishing c. increasing
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