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Author Question: If the Fed wants to stimulate the economy, ________. A) it reduces money supply B) it lowers ... (Read 28 times)

olgavictoria

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on: Jun 30, 2018
If the Fed wants to stimulate the economy, ________.
 
  A) it reduces money supply B) it lowers spending
  C) it increases tax rates D) it lowers short-run interest rates

Question 2

Something that affects the amount of money in existence will
 
  A) affect all markets.
  B) have no particular effect.
  C) have an effect only if the change in money is large.
  D) not affect the economy as a whole but may affect certain key markets such as the market for loans.


briseldagonzales

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

D

Answer to Question 2

A


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