Which of the following is not true at the equilibrium rate of interest?
A. The quantity of money demanded is equal to the quantity of money supplied.
B. There is a tendency for the money demand curve to shift to the right.
C. People are willing to hold as much money as is currently supplied.
D. There is no incentive for money owners to adjust their portfolios.
Answer: B
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Which of the following is NOT a proposition of the Heckscher-Ohlin model?
A) A country has a comparative advantage in the production of that commodity which uses more intensively the country's more abundant resource. B) The effect of international trade is to tend to equalize factor prices between the trading nations. C) If Mexico is an unskilled labor abundant country, then Mexico has a comparative advantage in the production of goods that use unskilled labor more intensively. D) If the United States is a skilled labor abundant country, then the United States has a comparative advantage in the production of goods that use skilled labor more intensively. E) Countries will completely specialize in the product in which they have a comparative advantage if free trade is allowed to occur.
Refer to Scenario 8.2. The result of the tax in the long run will be that
A) Q falls from 30,000; P rises by less than $20,000. B) Q falls from 30,000; P rises by $20,000. C) Q falls from 30,000; P does not change. D) Q stays at 30,000; P rises by $20,000. E) Q stays at 30,000; P rises by less than $20,000.
When the price of knee braces increased by 25 percent, the Brace Yourself Company increased its quantity supplied of knee braces per week by 75 percent. BYC's price elasticity of supply of knee braces is 0.33
a. True b. False Indicate whether the statement is true or false
In the above figure, what is total cost at the profit-maximizing point?
A. $182 B. $126 C. $170 D. $112