Which of the following will NOT occur in the short run when the money supply decreases?
A. The interest rate will increase.
B. The price level decreases.
C. People will buy fewer goods and services.
D. Aggregate supply decreases.
Answer: D
You might also like to view...
Suppose the market for Blu-rays has the demand and supply schedules shown in the table above. Suppose a decrease in the price of a Blu-ray player increases the quantity of disks demanded at each price by 20 million
What are the new equilibrium price and equilibrium quantity of Blu-rays?
What is the percentage of income received by the middle three quintiles on line X?
Suppose the consumption equation is represented by the following: C = 250 + .75YD, then private savings is
A) -250+0.25YD. B) -250+0.75YD. C) -1000+0.25YD. D) -1000+0.75YD.
According to Keynes, the primary determinant of Amy's saving is
A. the level of Amy's real current income. B. the level of Amy's consumption spending. C. the real interest rate. D. the nominal interest rate.