Author Question: The current demand for money increases when A) current real income increases. B) future real ... (Read 108 times)

Redwolflake15

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The current demand for money increases when
 
  A) current real income increases.
  B) future real income decreases.
  C) the nominal rate of interest increases.
  D) none of the above.

Question 2

The LM curve is the combinations of
 
  A) the output gap and the real interest rate for which the money market is in equilibrium.
  B) the inflation rate and nominal interest rate for which the money market is in equilibrium.
  C) the inflation rate and real interest rate for which the money market is in equilibrium.
  D) the inflation rate and real interest rate for which the goods market is in equilibrium.



kbennett34

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Answer to Question 1

A

Answer to Question 2

A



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