The interest rate is determined in ?

Related Mcqs:

The main reason that people hold money to buy things is referred to as the ?

A. Profit motive B. Precautionary motive C. Transactions motive D. speculation motive...

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

A. rise; increase, increase B. rise, falls, increase C. rise, increase, falls D. rise, falls, falls...

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...

When interest rate rise, other things equal, we can expect the quantity of real money holding to ?

A. fall B. increase C. not change D. None of these...