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    Business
  3. Study Set
    Economics A Contemporary Introduction
  4. Exam
    Exam 16: Monetary Theory and Policy
  5. Question
    If the Money Supply Increases,the Interest Rate Will __________ and People
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If the Money Supply Increases,the Interest Rate Will __________ and People

Question 30

Question 30

Multiple Choice

If the money supply increases,the interest rate will __________ and people will want to hold a __________ quantity of money.


A) rise; greater
B) rise; smaller
C) not change; greater
D) fall; greater
E) fall; smaller

Correct Answer:

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