Author Question: If the Fed maintains an expansionary monetary policy, ________. A) the M2 measure of money ... (Read 114 times)

michelleunicorn · **on:** Jun 30, 2018

If the Fed maintains an expansionary monetary policy, ________.

A) the M2 measure of money decreases B) the real interest rate increases
C) banks make less loans D) bank deposits increase

Question 2

For the capital stock of the economy to remain constant over time the amount of investment:

A) must exceed the depreciated value of capital stock.
B) must be less than the depreciated value of capital stock.
C) must be equal to the depreciated value of capital stock times the savings rate of the economy.
D) must be equal to the depreciated value of capital stock.