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Author Question: Which of the following would be counted as part of M1? a. Money market deposit accounts b. Saving ... (Read 31 times)

ec501234

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on: Jun 30, 2018
Which of the following would be counted as part of M1?
 a. Money market deposit accounts
  b. Saving deposits
  c. Mutual funds
  d. Traveler's checks
  e. Time deposits

Question 2

The federal government's Cash For Clunkers program provided consumers up to 4,500 towards new, environmentally friendly automobiles when trading in a less fuel efficient vehicle. Discuss the effect of this move on the industry's demand curve.


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Galvarado142

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Reply #1 on: Jun 30, 2018
Answer to Question 1

d

Answer to Question 2

The Cash For Clunkers program made consumers more interested in purchasing an auto. This increased interest or change in preferences caused an increase in demand shifting the demand curve to the right.


ec501234

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Reply 2 on: Jun 30, 2018
Gracias!

laurnthompson

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Reply 3 on: Yesterday
Great answer, keep it coming :)

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