The monetary mulitplier is excess reserves divided by requiredreserves. a. False
ID: 1254017 • Letter: T
Question
The monetary mulitplier is excess reserves divided by requiredreserves.a. False
b. True
An increase in nominal GDP,other things remaining the same, will increase both the totaldemand for money and the equilibrium rate of interest in theeconomy.
a. True
Bond prices and interest ratesare inversely related.
a. True
b. False
The monetary mulitplier is excess reserves divided by requiredreserves.
a. False
b. True
An increase in nominal GDP,other things remaining the same, will increase both the totaldemand for money and the equilibrium rate of interest in theeconomy.
a. True
Bond prices and interest ratesare inversely related.
a. True
b. False
Explanation / Answer
The answer to #3 is True. When interest rates rise, bond prices godown.
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