Which of the following combination of assets areconsidered to be money A. curren

Question

Which of the following combination of assets areconsidered to be money
      A. currency in circulation, checkable bank deposits, and creditcards
      B. currency in circulation, checkable bank deposits, andtravelers' checks
      C. currency in circulation and in bank vaults, checkable bankdeposits, and travelers' checks
     D.   currency in circulation and in bank vaults, checkable bankdeposits, and credit cards


2. When countries replaced gold and silvercoins with paper money exchangeable for certain amounts of preciousmetals, the monetary system evolved from _______.
       A. using commodity money to using fiat money
       B. using commodity-backed money to using fiatmoney
       C. using commodity money to using commodity-backedmoney
       D. using fiat money to using commodity-backed money


3. Banks can lend money because______.
       A. theyhave so much to lend
       B. theyknow not everyone wants their deposits back at the sametime
       C. there is a high demand for loans
       D. theyknow how much cash they have in their vault


4. Banks create money when they______.
       A. makeloans
       B. takedeposits
       C. holdexcess reserves
       D. paywithdrawals to depositors


5. To change the money supply, the Fed mostfrequently uses _______.
       A. changes in the required reserve ratios
       B. changes in the discount rate
       C. open-market operations
       D. noneof the above


6. An increase in the aggregate price_______.
       A. increases the nominal demand for money
       B. decreases the nominal demand for money
       C. doesnot affect the nominal demand for money
       D. shifts the nominal demand for money to the left


7. The loanable funds model focuses on the______.        A. demand for money
       B. supply of funds from lenders
       C. supply of funds from borrowers and the demand bylenders
       D. supply of funds from lenders and the demand fromborrowers


8. Expansionary monetary policy_______.        A. increases the money supply, interest rates, consumption, andinvestment
       B. decreases the money supply, interest rates, consumption, andinvestment
       C. increases the money supply, decreases interest rates, andincreases consumption and investment
       D. decreases the money supply, increases interest rates, anddecreases consumption and investment


9. In the long run, changes in the moneysupply _______.
       A. affect both the aggregate price level and aggregateoutput
       B. affect only the price level but they do not change aggregateoutput
       C. affect aggregate output but not the aggregate pricelevel
       D. haveno impact on either the aggregate price level or aggregateoutput


10. All of the following factors shift thereal money demand curve to the right except a(n) _______.
       A. decrease in the number of stores accepting creditcards
       B. increase in the price level
       C. breakdown in information technology that disablesATMs
       D. increase in real aggregate spending
Which of the following combination of assets areconsidered to be money
      A. currency in circulation, checkable bank deposits, and creditcards
      B. currency in circulation, checkable bank deposits, andtravelers' checks
      C. currency in circulation and in bank vaults, checkable bankdeposits, and travelers' checks
     D.   currency in circulation and in bank vaults, checkable bankdeposits, and credit cards


2. When countries replaced gold and silvercoins with paper money exchangeable for certain amounts of preciousmetals, the monetary system evolved from _______.
       A. using commodity money to using fiat money
       B. using commodity-backed money to using fiatmoney
       C. using commodity money to using commodity-backedmoney
       D. using fiat money to using commodity-backed money


3. Banks can lend money because______.
       A. theyhave so much to lend
       B. theyknow not everyone wants their deposits back at the sametime
       C. there is a high demand for loans
       D. theyknow how much cash they have in their vault


4. Banks create money when they______.
       A. makeloans
       B. takedeposits
       C. holdexcess reserves
       D. paywithdrawals to depositors


5. To change the money supply, the Fed mostfrequently uses _______.
       A. changes in the required reserve ratios
       B. changes in the discount rate
       C. open-market operations
       D. noneof the above


6. An increase in the aggregate price_______.
       A. increases the nominal demand for money
       B. decreases the nominal demand for money
       C. doesnot affect the nominal demand for money
       D. shifts the nominal demand for money to the left


7. The loanable funds model focuses on the______.        A. demand for money
       B. supply of funds from lenders
       C. supply of funds from borrowers and the demand bylenders
       D. supply of funds from lenders and the demand fromborrowers


8. Expansionary monetary policy_______.        A. increases the money supply, interest rates, consumption, andinvestment
       B. decreases the money supply, interest rates, consumption, andinvestment
       C. increases the money supply, decreases interest rates, andincreases consumption and investment
       D. decreases the money supply, increases interest rates, anddecreases consumption and investment


9. In the long run, changes in the moneysupply _______.
       A. affect both the aggregate price level and aggregateoutput
       B. affect only the price level but they do not change aggregateoutput
       C. affect aggregate output but not the aggregate pricelevel
       D. haveno impact on either the aggregate price level or aggregateoutput


10. All of the following factors shift thereal money demand curve to the right except a(n) _______.
       A. decrease in the number of stores accepting creditcards
       B. increase in the price level
       C. breakdown in information technology that disablesATMs
       D. increase in real aggregate spending

Explanation / Answer

1-c 2-c 3-b 4-a 5-d those i know for sure, the rest im not sure.

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