Author Question: If the Federal Reserve targets the money supply, and the money demand curve shifts to the left, then ... (Read 155 times)

geoffrey

  • Hero Member
  • *****
  • Posts: 880
If the Federal Reserve targets the money supply, and the money demand curve shifts to the left, then the Fed
 
  A) can maintain the money supply target, but at a lower interest rate.
  B) can maintain the money supply target with no change in the interest rate.
  C) can maintain the money supply target, but at a higher interest rate.
  D) cannot maintain the money supply target.

Question 2

During 2008, oil price increases
 
  A) did not shift the short-run aggregate supply curve as far to the left as similar increases had 30 years earlier.
  B) shifted the short-run aggregate supply curve farther to the left than similar increases had 30 years earlier.
  C) shifted the aggregate demand curve farther to the left than similar increases had 30 years earlier.
  D) shifted the aggregate demand curve farther to the right than similar increases had 30 years earlier.



zogaridan

  • Sr. Member
  • ****
  • Posts: 328
Answer to Question 1

A

Answer to Question 2

A



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

Vampire bats have a natural anticoagulant in their saliva that permits continuous bleeding after they painlessly open a wound with their incisors. This capillary blood does not cause any significant blood loss to their victims.

Did you know?

IgA antibodies protect body surfaces exposed to outside foreign substances. IgG antibodies are found in all body fluids. IgM antibodies are the first type of antibody made in response to an infection. IgE antibody levels are often high in people with allergies. IgD antibodies are found in tissues lining the abdomen and chest.

Did you know?

The word drug comes from the Dutch word droog (meaning "dry"). For centuries, most drugs came from dried plants, hence the name.

Did you know?

Opium has influenced much of the world's most popular literature. The following authors were all opium users, of varying degrees: Lewis Carroll, Charles, Dickens, Arthur Conan Doyle, and Oscar Wilde.

Did you know?

Liver spots have nothing whatsoever to do with the liver. They are a type of freckles commonly seen in older adults who have been out in the sun without sufficient sunscreen.

For a complete list of videos, visit our video library