When cash or coins are deposited in a transactions account at a bank, the size of M1 changes.
Answer the following statement true (T) or false (F)
False
M1 includes currency in circulation and deposits in transactions accounts. So making the deposit does not actually change the amount of money in M1.
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Which of the following is false about gold as money?
A. It is acceptable to traders. B. It is durable. C. The money supply would be easy to control because of the predictability of new gold discoveries. D. It has value other than money.
Using Figure 1 below, if the aggregate demand curve shifts from AD1 to AD2 the result in the long run would be:
A. P1 and Y2.
B. P3 and Y1.
C. P2 and Y3.
D. P2 and Y2.
Recall the Application about the economics professor who caught three students cheating on their final exam to answer the following question(s).Recall the Application. Which of the following facts in the scenario make it a prisoners' dilemma?
A. The student's dominant strategy is to confess. B. The game is played simultaneously. C. Each student had two options, confess or not confess. D. All of these are correct.
A profit-maximizing strategy becomes a loss minimization strategy when a firm in a perfectly competitive industry is producing where
A. P = ATC. B. MR = MC < P. C. AVC < P < ATC. D. P > ATC.