« previous next »

Author Question: Why is the demand for real money balances downward sloping? A) because the opportunity cost of ... (Read 72 times)

kshipps

  • Hero Member
  • *****
  • Posts: 571
on: Jun 30, 2018
Why is the demand for real money balances downward sloping?
 
  A) because the opportunity cost of holding money decreases as interest rates decrease
  B) because when the interest rate falls the quantity of money demanded increases
  C) because lower interest rates encourage firms and households to increase their money holdings
  D) all of the above
  E) none of the above

Question 2

Money is ________.
 
  A) an asset
  B) a unit of measure
  C) a tool
  D) all of the above
  E) none of the above


ntsoane kedibone

  • Sr. Member
  • ****
  • Posts: 333
Reply #1 on: Jun 30, 2018
Answer to Question 1

D

Answer to Question 2

D


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question

kshipps

  • Hero Member
  • *****
  • Posts: 571
Reply #2 on: Jun 30, 2018
Thank you :)


ntsoane kedibone

  • Sr. Member
  • ****
  • Posts: 333
Reply #3 on: Jun 30, 2018
Happy to help you


« previous next »
 

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?

Autoimmune diseases occur when the immune system destroys its own healthy tissues. When this occurs, white blood cells cannot distinguish between pathogens and normal cells.

Did you know?

Nitroglycerin is used to alleviate various heart-related conditions, and it is also the chief component of dynamite (but mixed in a solid clay base to stabilize it).

Did you know?

A serious new warning has been established for pregnant women against taking ACE inhibitors during pregnancy. In the study, the risk of major birth defects in children whose mothers took ACE inhibitors during the first trimester was nearly three times higher than in children whose mothers didn't take ACE inhibitors. Physicians can prescribe alternative medications for pregnant women who have symptoms of high blood pressure.

Did you know?

In the ancient and medieval periods, dysentery killed about ? of all babies before they reach 12 months of age. The disease was transferred through contaminated drinking water, because there was no way to adequately dispose of sewage, which contaminated the water.

The Increasing Cost of Health Care, 1960–2010 The Increasing Cost of Health Care, 1960–2010
Classic Supply - Demand Curve Classic Supply - Demand Curve
The demand for energy is met by burning coal and other fossil fuels The demand for energy is met by burning coal and other fossil fuels
Cost Accounting: A Managerial Emphasis 16th Edition Cost Accounting: A Managerial Emphasis 16th Edition
Please help me with a Real Estate Course Problem Please help me with a Real Estate Course Problem
When operating your own business, it is wise to know your cost of capital and that of the ... When operating your own business, it is wise to know your cost of capital and that of the ...
Video: Normal and abnormal blood pH

For a complete list of videos, visit our video library