A decrease in the real money supply other things

This preview shows page 15 - 18 out of 32 pages.

We have textbook solutions for you!
The document you are viewing contains questions related to this textbook.
Survey of Accounting
The document you are viewing contains questions related to this textbook.
Chapter 2 / Exercise 7
Survey of Accounting
Warren
Expert Verified
78.A decrease in the real money supply, other things being equal, will shift the LM curve: A) downward and to the left. B) upward and to the left. C) downward and to the right. D) upward and to the right.
79.A decrease in the nominal money supply, other things being equal, will shift the LM curve:
80.A decrease in the price level, holding nominal money supply constant, will shift the LM curve:
81.An increase in income raises money ______ and ______ the equilibrium interest rate.
82.At a given interest rate, an increase in the nominal money supply ______ the level of income that is consistent with equilibrium in the market for real balances. A) raises B) lowers C) does not change D) may either raise or lower
83.Changes in monetary policy shift the:
Page 15
We have textbook solutions for you!
The document you are viewing contains questions related to this textbook.
Survey of Accounting
The document you are viewing contains questions related to this textbook.
Chapter 2 / Exercise 7
Survey of Accounting
Warren
Expert Verified
B) planned spending curve. C) money demand curve. D) IS curve. 84.The LM curve shows combinations of ______ that are consistent with equilibrium in the market for real money balances.
85.For any given interest rate and price level, an increase in the money supply:
86.The LM curve generally determines: A) income. B) the interest rate. C) both income and the interest rate. D) neither income nor the interest rate.
87.The IS and LM curves together generally determine:
88.The interest rate determines ______ in the goods market and money ______ in the money market.
89.The intersection of the IS and LM curve determines the values of: M . P . P .
Page 16
D) p and Y , given G , T , and M . 90.Equilibrium levels of income and interest rates are ______ related in the goods and services market, and equilibrium levels of income and interest rates are ______ related in the market for real money balances. A) positively; positively B) positively; negatively C) negatively; negatively D) negatively; positively

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture