A. incomes
B. overseas investment
C. imports
D. interest rates
Money, Interest Rates And Output
Each point on the IS curve represents the equilibrium point in the ?
A. goods market for the given interest rate
B. goods market for the given level of government spending
C. money market for the given level of the money supply
D. money market for the given value of aggregate output
The curve that illustrates the positive relationship between the equilibrium values of aggregate output and the interest rate in the money market is the ?
A. money supply curve
B. LM curve
C. money demand curve
D. IS curve
Each point on the LM curve represents the equilibrium point in the ?
A. money market for the given level of the money supply
B. money market for different combinations of interest rates and output
C. goods market for the given level of government spending
D. goods market for the given interest rate
Money has 3 main function they are ………. and ……….?
A. IOU , inflation hedge store of value
B. Medium of exchange inflation hedge store of value
C. Medium of exchange unit of account IOU
D. Medium of exchange unit of account store of value
E. Medium of exchange unit of account store of value
Banks create money by ?
A. printing it
B. issuing debit cards
C. accepting cheques
D. lending out part of their deposits
If banks and the private sector decide to hold less cash the money multiplier will be ?
A. Unchanged
B. Larger
C. Smaller
D. Unstable
If the keep some money available in case I see a bargain this is an example of ?
A. asset demand for money
B. transactions demand for money
C. token demand for money
D. precautionary demand for money
When interest rate rise, other things equal, we can expect the quantity of real money holding to ?
A. fall
B. increase
C. not change
D. None of these
M4 is a ………. measure of money and includes deposits at both ………. and ………?
A. narrow, banks, building societies
B. wide, banks insurance companies
C. Narrow, banks insurance companies
D. Wide, banks building societies