Multiple Choice
A decrease in the real interest rate occurs when ________.
A) there is an autonomous tightening of monetary policy
B) expected inflation increases,relative to the nominal interest rate
C) a decrease in autonomous spending causes a decrease in equilibrium output
D) all of the above
E) none of the above
Correct Answer:
Verified
Correct Answer:
Verified
Q24: As income rises _.<br>A)the number of transactions
Q25: As the nominal interest rate increases _.<br>A)it
Q26: A leftward shift of the money supply
Q27: Autonomous easing of monetary policy involves _.<br>A)raising
Q28: According to liquidity preference theory,an increase in
Q30: Suppose real output is 12,500,and the demand
Q31: If the monetary policy curve is correct,then
Q32: When the Federal Reserve increases the money
Q33: A rightward shift of the money supply
Q34: Changes in liquidity in the banking system