TEST 4(all) - TEST 4 User ID skim7 Attempt 1 1 Out of 100...

Info icon This preview shows pages 1–4. Sign up to view the full content.

View Full Document Right Arrow Icon
TEST 4 User ID: skim7 Attempt: 1 / 1 Out of: 100 Started: November 23, 2004 9:56pm Finished: November 23, 2004 11:39pm Time spent: 1 hr, 43 min., 16 sec. Student finished 1 hr, 16 min., 44 sec. ahead of the 180 min. time limit. Question 1 (2 points) If we were to rank the three types of money from the largest measure to the smallest, we would have the ordering Student response: Percent Value Correct Response Student Response Answer Choices 0.0% a. M1, M2, M3. 100.0% b. M3, M2, M1. 0.0% c. All are equal. 0.0% d. They cannot be ranked, because they measure different things. Score: 2 / 2 Question 2 (2 points) One common problem with commodity money is that Student response: Percent Value Correct Response Student Response Answer Choices 0.0% a. it has little intrinsic value. 0.0% b. it is not useful as a unit of account. 100.0% c. it may not be divisible. 0.0% d. gold is in short supply. Score: 2 / 2 Question 3 (2 points) From the definitions of M1 and M2, we know that Student response: Percent Value Correct Response Student Response Answer Choices 0.0% a. M1 is always larger than M2. 100.0% b. M2 is always larger than M1. 0.0% c. M1 and M2 are always equal. 0.0% d. M1 is sometimes larger than M2, and sometimes smaller than M2. Score: 2 / 2 Question 4 (2 points)
Image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
The definition of M2 includes which of the following types of money? Student response: Percent Value Correct Response Student Response Answer Choices 100.0% a. Travelers' checks 0.0% b. Eurodollar deposits 0.0% c. Stocks 0.0% d. Repurchase agreements Score: 2 / 2 Question 5 (2 points) When the demand for money exceeds the supply, Student response: Percent Value Correct Response Student Response Answer Choices 0.0% a. more money will be printed to meet the demand. 100.0% b. the interest rate will rise. 0.0% c. the interest rate will fall. 0.0% d. inflation will decrease. Score: 0 / 2 Question 6 (2 points) If income decreases, which of the following will occur? Student response: Percent Value Correct Response Student Response Answer Choices 0.0% a. Money supply will shift left. 100.0% b. Money demand will shift left. 0.0% c. The interest rate will increase. Score: 0 / 2 Question 7 (2 points) If the money supply increases, then interest rates will rise. Student response: Percent Value Correct Response Student Response Answer Choices 0.0% a. True 100.0% b. False Score: 2 / 2
Image of page 2
Question 8 (2 points) The graph below shows the demand for money. The initial interest rate is io. Which graph correctly depicts a rise in interest rates above the initial level io? Student response: Percent Value Correct Response Student Response Answer Choices 0.0% a. 100.0% b. 0.0% c. 0.0% d. Score: 2 / 2 Question 9 (2 points) The graph below shows the demand for money. If the Federal Reserve has the power to set the money supply at a fixed level, we depict the money supply curve as a(n) Student response: Percent Value Correct Response Student Response Answer Choices 0.0% a. upward-sloping line that intersects the demand curve.
Image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Image of page 4
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern