Author Question: Which of the following is true of other checkable deposits? a. They are checking account deposits ... (Read 114 times)

cartlidgeashley · **on:** Jun 30, 2018

Which of the following is true of other checkable deposits?
a. They are checking account deposits at commercial banks and do not pay any interest.
b. They are accounts at financial institutions that pay interest and give the depositor check-writing privileges.
c. They comprise solely of demand deposits at mutual savings banks.
d. They are not included in the M1 money supply.
e. They are savings deposits that earn interest at savings and loan associations.

Question 2

Beach resorts raise their prices during the summer months and yet more people book rooms at those times. Is this a violation of the law of demand?

chem1s3 · **Reply #1 on:** Jun 30, 2018

Answer to Question 1

b

Answer to Question 2

No. During summer months, the demand for beach resort accommodations tends to increase, pushing up both prices and occupancy for the duration. An increase in demand (a shift of the curve. occurs. This does not violate the law of demand, which states that there is an inverse relationship between price and quantity demanded, all other things being equal.