One of the transmission mechanisms of monetary policy is through consumer demand when interest rates ________ household wealth ________ and consumption _________?

Related Mcqs:

If the quantity of money demanded exceeds the quantity of money supplied then the interest rate will ?

A. change in a certain direction B. remain constant C. fall D. rise...

Equilibrium in the Money market will change if there is ?

A. a change in the real money supply B. a change in real income C. a change in competition in the banking industry D. any of the above...

Which of the following events will lead to a decrease in the equilibrium interest rate ?

A. A sale of government securities by the central bank B. An increase in the level of aggregate output C. An increase in the discount rate D. A decrease in the price level...

The motive for holding money that encourages investors to hold bonds when interest rates are low, with the hope of selling them when interest rates are high, is the ?

A. Transactions motive B. precautionary motive C. profit motive D. speculation motive...

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...