________ shifts the Fed rule to the left.
A. An increase in government spending
B. A decrease in the Z factors
C. An increase in the price level
D. A decrease in government spending
Answer: C
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If the price level rises in the United States but not in foreign nations and the current exchange rate does not change, the expected future exchange rate
A) rises. B) falls. C) stays the same. D) You can't tell from the given information.
Which of the following is not assumed constant along the U.S. demand curve for foreign exchange?
a. the exchange rate b. U.S. interest rates c. expected U.S. inflation d. expected foreign inflation e. increase in U.S. income
Which of the following transfer programs in the U.S. is funded by a national tax but administered by state governments?
a. Social security b. Veterans' Administration Benefit program c. Unemployment insurance d. Food stamps e. National Guard activities
Which of the following would cause the money demand curve to shift to the left?
A. An increase in interest rates B. Inflation C. A technological advance, like online shopping D. An increase in GDP