This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Suppose that the current money market equilibrium features an interest rate of 5 percent and a ... (Read 35 times)

eruditmonkey@yahoo.com

  • Hero Member
  • *****
  • Posts: 546
on: Jun 30, 2018
Suppose that the current money market equilibrium features an interest rate of 5 percent and a quantity of 2 trillion. If the Fed raises the discount rate, which of the following ismostlikely to be the new money market equilibrium?
 a. An interest rate of 6 percent and a quantity of 1.5 trillion.
  b. An interest rate of 5 percent and a quantity of 2 trillion.
  c. An interest rate of 4 percent and a quantity of 2.5 trillion.
  d. None of the above.

Question 2

An increase in the per unit costs of production within an economy will cause the aggregate supply curve to shift to the right.
 a. True
  b. False
  Indicate whether the statement is true or false


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

bitingbit

  • Sr. Member
  • ****
  • Posts: 323
Reply #1 on: Jun 30, 2018
Answer to Question 1

a

Answer to Question 2

False


eruditmonkey@yahoo.com

  • Member
  • Posts: 546
Reply 2 on: Jun 30, 2018
Wow, this really help

upturnedfurball

  • Member
  • Posts: 334
Reply 3 on: Yesterday
Great answer, keep it coming :)

« previous next »
 

Did you know?

When taking monoamine oxidase inhibitors, people should avoid a variety of foods, which include alcoholic beverages, bean curd, broad (fava) bean pods, cheese, fish, ginseng, protein extracts, meat, sauerkraut, shrimp paste, soups, and yeast.

Did you know?

Children of people with alcoholism are more inclined to drink alcohol or use hard drugs. In fact, they are 400 times more likely to use hard drugs than those who do not have a family history of alcohol addiction.

Did you know?

Always store hazardous household chemicals in their original containers out of reach of children. These include bleach, paint, strippers and products containing turpentine, garden chemicals, oven cleaners, fondue fuels, nail polish, and nail polish remover.

Did you know?

The eye muscles are the most active muscles in the whole body. The external muscles that move the eyes are the strongest muscles in the human body for the job they have to do. They are 100 times more powerful than they need to be.

Did you know?

Before a vaccine is licensed in the USA, the Food and Drug Administration (FDA) reviews it for safety and effectiveness. The CDC then reviews all studies again, as well as the American Academy of Pediatrics and the American Academy of Family Physicians. Every lot of vaccine is tested before administration to the public, and the FDA regularly inspects vaccine manufacturers' facilities.

Ecological features of fungi can be harnessed in biotechnology. Ecological features of fungi can be harnessed in biotechnology.
Diverse living organisms share common chemical features Diverse living organisms share common chemical features
Microscopic Features of Alzheimer’s Disease Microscopic Features of Alzheimer’s Disease
Effect of Increasing the Investment Rate on the Steady State Effect of Increasing the Investment Rate on the Steady State
A non-interest-bearing five-year note for $54600.00 issued May 1, 2015, is discounted April 1, ... A non-interest-bearing five-year note for $54600.00 issued May 1, 2015, is discounted April 1, ...
Video: Stomach peristalsis - Movement of Food Through the Small Intestine

For a complete list of videos, visit our video library