Solved

If, in the Market for Money, the Quantity of Money

Question 319

Multiple Choice

If, in the market for money, the quantity of money demanded exceeds the money supply, the interest rate will


A) fall, causing households and businesses to hold less money.
B) rise, causing households and businesses to hold less money.
C) rise, causing households and businesses to hold more money.
D) fall, causing households and businesses to hold more money.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions