The Monetary Intertemporal Model Assumes That

Multiple Choice

The monetary intertemporal model assumes that

A) the real interest rate equals the nominal interest rate.
B) the federal government makes all the decisions about interest rates.
C) all transactions in the credit market are carried out using credit cards.
D) after leaving the credit market, consumers do not go to work.
E) all credit card balances are paid off at the end of the day.