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36. The equilibrium interest rate is determined by 37. Which of the following st

ID: 1206117 • Letter: 3

Question

36.  The equilibrium interest rate is determined by

37.  Which of the following statements is true?

38.  If the MPC in an economy is .8, government could shift the aggregate demand curve rightward by $100 billion by:

39.  The federal Reserve System Was created by__________in ___________.

40.  If the MPC in an economy is .80, government could shift the aggregate demand curve leftward by $60 billion by:

downward movement along the demand curve for money. leftward movement along the supply money. aggregate demand and supply intersect rightward shift of the demand curve for money. the forces of supply and demand for money.

Explanation / Answer

36. The forces of supply and demand for money.

The equilibrium interest rate is tied to the demand and supply of money.

37. Reserves are a liability for a bank

Liabilities are a vital aspect of a company's operations because they are used to finance operations and pay for large expansions.

38. decreasing individual income taxes by $25 billion.

39. Congress in 1913

The Federal Reserve was created on December 23, 1913 by congress.

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