Multiple Choice
If the Federal Reserve unexpectedly raised its interest rate target,which of the following would most likely occur?
A) The interest rate would increase and bond prices would rise.
B) The interest rate would decrease and bond prices would rise.
C) The interest rate would increase and bond prices would fall.
D) The interest rate would decrease and bond prices would fall.
E) The interest rate would increase but bond prices would not change.
Correct Answer:
Verified
Correct Answer:
Verified
Q78: If the demand for money decreases,a constant
Q79: If the inflation rate is 3 percent
Q80: In the mid-1980s the natural rate of
Q81: If the inflation rate is higher than
Q82: Which of the following would lead to
Q84: To stabilize real GDP when the money
Q85: To stabilize real GDP when the money
Q86: If there is a large increase in
Q87: What is the major cost of slowing
Q88: Which of the following is a microeconomic