Multiple Choice
Which of the following statements is correct for the long run?
A) Output is determined by the amount of capital,labor,and technology;the interest rate adjusts to balance the supply and demand for money;the price level adjusts to balance the supply and demand for loanable funds.
B) Output is determined by the amount of capital,labor,and technology;the interest rate adjusts to balance the supply and demand for loanable funds;the price level adjusts to balance the supply and demand for money.
C) Output is determined by the amount of capital,labor,and technology;the interest rate adjusts to balance the supply and demand for loanable funds;the price level is relatively slow to adjust.
D) Output responds to the aggregate demand for goods and services;the interest rate adjusts to balance the supply and demand for loanable funds;the price level adjusts to balance the supply and demand for money.
Correct Answer:

Verified
Correct Answer:
Verified
Q4: People are likely to want to hold
Q73: According to the theory of liquidity preference,a
Q74: Liquidity refers to<br>A)the relation between the price
Q75: Using the liquidity-preference model,when the Federal Reserve
Q76: Liquidity preference refers directly to Keynes' theory
Q77: Which of the following events would shift
Q79: Which of the following properly describes the
Q80: Which of the following is correct?<br>A)A higher
Q81: According to the theory of liquidity preference,if
Q83: Which of the following Fed actions would