Money has 3 main function they are __________ and __________?

Related Mcqs:

Suppose the central bank purchases a government bond from a person who deposits the entire amount received from the sale in her bank the money supply will ?

A. rise by an amount that depends on the bank’s reserve ratio B. rise by less than the amount of the deposit C. fall by exactly the amount of the deposit as long as the bank does not change its reserve ratio D. fall by exactly the amount of the deposit as long as the … Suppose the central bank purchases a government bond from a person who deposits the entire amount received from the sale in her bank the...

Money that a government has required has required to be accepted in settlement of debts is ?

A. barter money B. currency value C. legal tender D. commodity money...

If the central bank increases the money supply at the same time as the government increasing spending, it is suggested that investment will ?

A. Suffer even more B. not be reduced as much as it would have been C. be replaced by foreign investment D. be replaced by consumer spending...

If there is a general shortage of liquidity in the money market then ?

A. The banks will increase their lending B. The short-term interest rate at which the economy’s commercial banks lend to and borrow from each other will fall and the central bank may be expected to reduce the supply of liquidity to the banks C. The short-term interest rate at which the economy’s commercial banks lend … If there is a general shortage of liquidity in the money market then ?Read More...

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...