An increase in the money supply will cause the nominal interest rate to ________ and the quantity of money to ________
A) increase; increase
B) increase; decrease
C) decrease; increase
D) decrease; decrease
C
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In a fiduciary monetary system
A) coins get their value from the precious metals of which they are made. B) money gets its value from the confidence that the public has in its acceptability. C) paper currency does not have value, but balances in checking accounts do. D) checking account balances do not have value, but paper currency does.
The aggregate demand curve slopes downward because households feel poorer after a decrease in the price level
a. True b. False Indicate whether the statement is true or false
A country's imports are sensitive to its level of domestic income
a. True b. False Indicate whether the statement is true or false
??Firm 2???High PriceLow PriceFirm 1High PriceFirm 1 earns $100; Firm 2 earns $100Firm 1 earns $25; Firm 2 earns $150?Low PriceFirm 1 earns $150; Firm 2 earns $25Firm 1 earns $50; Firm 2 earns $50Table 12.2The Nash Equilibrium in the game shown in Table 12.2 is the cell in which:
A. both firms choose a low price. B. both firms choose a high price. C. Firm 1 chooses a low price and Firm 2 chooses a high price. D. Firm 2 chooses a low price and Firm 1 chooses a high price.