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

Author Question: The Federal Reserve lowers interest rates. As a result, in the short run, real GDP ________ and the ... (Read 39 times)

CBme

  • Hero Member
  • *****
  • Posts: 548
on: Jun 29, 2018
The Federal Reserve lowers interest rates. As a result, in the short run, real GDP ________ and the price level ________.
 
  A) increases; rises
  B) increases; falls
  C) decreases; rises
  D) decreases; falls

Question 2

In October of 2014, the nominal interest rate earned on money market accounts was around 0.20 percent. This interest rate is a measure of which of the following?
 
  A) the opportunity cost of holding money
  B) the inflation rate
  C) the demand for money
  D) the real interest rate


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

karlss

  • Sr. Member
  • ****
  • Posts: 321
Reply #1 on: Jun 29, 2018
Answer to Question 1

A

Answer to Question 2

A


CBme

  • Member
  • Posts: 548
Reply 2 on: Jun 29, 2018
Excellent

ryhom

  • Member
  • Posts: 366
Reply 3 on: Yesterday
Gracias!

« previous next »
 

Did you know?

Chronic marijuana use can damage the white blood cells and reduce the immune system's ability to respond to disease by as much as 40%. Without a strong immune system, the body is vulnerable to all kinds of degenerative and infectious diseases.

Did you know?

Cutaneous mucormycosis is a rare fungal infection that has been fatal in at least 29% of cases, and in as many as 83% of cases, depending on the patient's health prior to infection. It has occurred often after natural disasters such as tornados, and early treatment is essential.

Did you know?

Multiple experimental evidences have confirmed that at the molecular level, cancer is caused by lesions in cellular DNA.

Did you know?

During pregnancy, a woman is more likely to experience bleeding gums and nosebleeds caused by hormonal changes that increase blood flow to the mouth and nose.

Did you know?

Elderly adults are living longer, and causes of death are shifting. At the same time, autopsy rates are at or near their lowest in history.

Unique communities may result from distinct environmental conditions. Unique communities may result from distinct environmental conditions.
Ectopic pregnancies. (a) An ectopic pregnancy may occur in any of the locations shown. Interstitial Ectopic pregnancies. (a) An ectopic pregnancy may occur in any of the locations shown. Interstitial
Hematoma. A hematoma around the right eye caused by an injury. A hematoma is the result of bleeding Hematoma. A hematoma around the right eye caused by an injury. A hematoma is the result of bleeding
Stellar Birth Rates Stellar Birth Rates
Example of coastal cities Recharge Rates Example of coastal cities Recharge Rates
How to read gel electrophoresis result How to read gel electrophoresis result
Video: Types of Shock (Part 2 of 2)

For a complete list of videos, visit our video library