Aggregate supply increases when:
a. wage rates decrease while the economy's price level remains unchanged.
b. resource availability is reduced.
c. there are fewer workers.
d. there is less capital and the price level remains unchanged.
e. there are increased inflationary expectations of labor.
Question 2
Keynes called the money people hold in order to buy bonds, stocks, or other nonmoney financial assets the:
a. transactions demand for holding money.
b. precautionary demand for holding money.
c. speculative demand for holding money.
d. unit of account demand for holding money.
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