Quiz
Econ Study Guide Ch.20
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Perguntas do quiz (12)
1The demand for money that households keep for emergency purposes is known as-
- Aprecautionary demand
- Bemergency demand
- Cspeculative demand
- Dtemporary demand
2The quantity of money held in response to interest rates is the-
- Atransactions motive for holding money
- Bprecautionary motive for holding money
- Cspeculative motive for holding money
- Dunit-of-account motive for holding money
3the specualtive demand for money
- Avaries inversely with income
- Bis only concerned with active money
- Cinvolves holding money for unexpected problems
- Dvaries directly with the transactions demand for money
- Evaries inversely with the interest rate
4Other things being equal, the quantity of money that people wish to hold can be expected to -
- Aincrease as the interest rate increases
- Bdecrease as the interest rate increases
- Cdecrease as real GDP increases
- Dnone of the answers above are correct
5A decrease in the interest rate, other things being equal, causes a(n)-
- Aupward movement along the demand curve for money
- Bdownward movement along the demand curve for money
- Crightward shift of the demand curve for money
- Dleftward shift of the demand curve for money
6Which of the following statements is true?
- AThe speculative demand for money at possible interest rates gives the demand for money curve its upward slope
- Bthere is an inverse relationship between the quantity of money demanded and the interest rate
- Caccording to the quantity theory of money, any change in the money supply will have no effect on the price level
- Dall of the answers above are correct
7In exhibit 20-11, assume an equilibrium with an interest rate of 6% and the money supply at $400 billion. The fed uses its policy tools to move the economy to a new equilibrium at E2, with money supply of $600 billion and an interest rate of 4%. This change could be the result of a(n)-
- Aopen market sale of securities by the fed
- Bhigher discount rate set by the fed
- Chigher required-reserve ratio set by the Fed
- Dopen market purchase of securities by the fed
8according to Keynesians, an increase in the money supply will-
- Adecrease the interest rate, and increase investment, aggregate demand, prices, real GDP, and employment.
- Bdecrease the interest rate, and decrease investment, aggregate demand, prices, real GDP. and employment.
- Cincrease the interest rate, and decrease investment, aggregate demand, prices, real GDP, and employment
- Donly increase prices
9In Exhibit 20-12 , when the money supply increases from MS1 to MS2, the equilibrium interest rate-
- Aremains unchanged
- Bincreases from i1 to i2, increasing investment spending from I1 to I2
- Cincreases from i2 to i1, decreasing investment spending from I2 to I1
- Ddecreases from i1 to i2, increasing investment spending from I1 to I2
10In exhibit 20-12, a shift in aggregate demand from AD1 to AD2
- Acannot raise real GDP because the economy is at full employment
- Bcannot raise real GDP because the aggregate supply curve is upward sloping at GDP2
- Cwill raise real GDP because the economy is operating below the full-employment level
- Dwill cause the interest rate to increase from i2 to i1
11The transactions demand for money is the demand for money by households for
- Arainy day spending
- Bpredictable spending purposes
- Cliquidity purposes
- Dinvesting purposes
12People react to an excess supply of money by-
- Aselling bonds, thus driving up the interest rate
- Bselling bonds, thus driving down the interest rate
- Cbuying bonds, thus driving up the interest rate
- Dbuying bonds, thus driving down the interest rate
Informações
- Descrição
- Economics study guide
- Autor
- Lena O
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- English
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