Multiple Choice
If the quantity of money demanded is less than the quantity of money supplied, then the
A) interest rate stays the same.
B) interest rate will increase.
C) interest rate will decrease.
D) effect on the interest rate is indeterminate.
Correct Answer:
Verified
Correct Answer:
Verified
Related Questions
Q13: In the short run when prices don't
Q14: A decrease in the discount rate<br>A) reduces
Q15: Decreased investment spending in the economy would
Q16: The Federal Reserve influences the level of
Q17: The prime rate is the interest rate
Q19: If a bond was to pay off
Q20: The nominal interest rate is determined in
Q21: The Fed directly controls long-term interest rates.
Q22: An increase in the price level in
Q23: If the Federal Reserve conducts an open