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The Monetary Intertemporal Model Assumes That

Question 25

Multiple Choice

The monetary intertemporal model assumes that


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

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